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Department of Natural Resources and Environmental Control Division of Air Quality Regulation Proposal 7 DE Admin Code 1151 – Prohibitions on Use of Certain Hydrofluorocarbons in Specific End-Uses Technical Support Document April 2020

Prohibitions on Use of Certain Hydrofluorocarbons in

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Department of Natural Resources and Environmental Control

Division of Air Quality

Regulation Proposal

7 DE Admin Code 1151 – Prohibitions on Use of Certain

Hydrofluorocarbons in Specific End-Uses

Technical Support Document

April 2020

2

TABLE OF CONTENTS I. Executive Summary .................................................................................................3

II. Introduction and Background .................................................................................4

A. What are Hydrofluorocarbons ................................................................................................ 4

B. Background to this Initiative .................................................................................................... 5

C. Meeting Delaware’s Greenhouse Gas Reduction Goals .......................................................... 6

III. Overview of the Proposed Regulation 7 DE Admin Code 1151 .............................9

A. Applicability .......................................................................................................................... 9

B. Prohibitions .......................................................................................................................... 9

C. Disclosure Statement ......................................................................................................... 13

IV. Economic Impacts .............................................................................................. 15

A. EPA’s SNAP Economic Impact Analysis .................................................................................. 15

B. Low-GWP Alternative Costs .................................................................................................. 22

C. Small Business Impact Statement ......................................................................................... 23

D. Economic Benefits................................................................................................................. 27

V. Health, Environmental, and Public Welfare Benefits .......................................... 29

A. Projected Emissions Reductions ......................................................................................... 29

B. Quantifying Benefits ........................................................................................................... 32

VI. Stakeholder Participation ................................................................................... 33

VII. Public Participation ............................................................................................ 34

3

I. EXECUTIVE SUMMARY

As a coastal state with over 381 miles of shoreline, Delaware is already experiencing the detrimental

effects of climate change, and its associated increased temperatures, sea level rise and intense

rainfall events. Delaware is vulnerable to coastal erosion, storm surge, saltwater intrusion, and tidal

wetland losses. Intense rainfall and rising sea levels increase the risk of permanent and temporary

flooding across the state, which threatens public safety and incurs costly damage to homes and

businesses. Rising temperatures, and extreme heat events increase the risk of serious illnesses,

especially for vulnerable citizens—the elderly, young children, outdoor workers, and people with

pre-existing health conditions. Temperature and rainfall extremes pose serious challenges for our

agriculture and tourism economies, as well as imposing increasing costs for maintaining and

repairing critical infrastructure. Inundation from sea level rise will occur in all three of Delaware’s

counties, affecting a wide variety of resources. For all these reasons, Delaware needs to prioritize

addressing the effects of climate change and mitigating greenhouse gas emissions.

Hydrofluorocarbons (HFCs) are potent greenhouse gases with global warming potential that are

hundreds to thousands of times that of carbon dioxide (CO2), and their use is projected to increase

through 2050. Currently, HFCs are the fastest growing source of greenhouse gases globally, in

sectors where energy-efficient alternatives are readily available for a growing number of

applications.

This regulatory development process was initiated as a result of the 2019 Delaware House

Concurrent Resolution 601 and the Governor’s directive2 to the Department of Natural Resources

and Environmental Control to propose regulations for the use and manufacturing of HFCs in the

State, by March 30, 2020. The proposed new regulation 7 DE Admin Code 1151 will establish

prohibitions and phase down requirements for the manufacture and use of HFCs in Delaware,

following an end-use specific schedule beginning as early as January 1, 2021. The proposed new

regulation is based on the previously promulgated EPA Significant New Alternatives Policy (SNAP)

rules 20 and 213, for which the federal agency had built an extensive technical support for the overall

costs and the benefits for transitioning to lower global warming potential refrigerants that minimize

risks to human health and the environment. According to estimates based on tools developed by the

California Air Resources Board, on behalf of the United State Climate Alliance (USCA)4, the

proposed regulation is expected to reduce HFC emissions by 25% by 2030 compared to a Business

as Usual scenario. In 10 years, (between 2020 and 2030), the Delaware proposal would avoid a total

of 0.832 million metric tons of CO2 equivalent emissions.

This proposal is necessary to continue Delaware’s effort to reduce its Greenhouse Gas (GHG)

emissions, and to offer Delawareans an increasing quality of life through reduced air pollution,

increased economic opportunities, and mitigating the effects of climate change.

1 Delaware General Assembly. Passed on June 30, 2019. House Concurrent Resolution 60. Accessible via:

http://legis.delaware.gov/BillDetail/47864 2 Delaware News, June 30, 2019. Governor’s Directive on Delaware to Eliminate HFCs to Confront Climate. Accessible via:

https://news.delaware.gov/2019/06/30/delaware-to-eliminate-hfcs-to-confront-climate-change/ 3 United States Environmental Protection Agency, Significant New Alternatives Policy, Regulatory website. Accessible via:

https://www.epa.gov/snap/snap-regulations, 4 United States Climate Alliance is a bipartisan coalition of governors committed to reducing greenhouse gas emissions consistent

with the goals of the Paris Agreement. Accessible via: https://www.usclimatealliance.org/

4

II. INTRODUCTION AND BACKGROUND

A. What are Hydrofluorocarbons

Hydrofluorocarbons (HFCs) are gaseous compounds used across various economic sectors in

applications for air conditioning, refrigeration, foam-blowing, solvents, and aerosols. HFCs were

identified in the 2009 GHG Endangerment Finding5 by the U.S. Environmental Protection Agency

(EPA) as one of six GHGs in the atmosphere that “threaten the public health and welfare of current

and future generations.” As stated above, HFC emissions are GHG that can have a warming effect

that is hundreds to thousands times that of carbon dioxide (CO2), as illustrated in Table 16. In the

latter, two values are listed for the GWPs of each HFC; they refer to the Intergovernmental Panel on

Climate Change (IPCC) Fourth Assessment Report (AR4)7 and Fifth Assessment Report (AR5)8.

While more recent data were used for the AR5, official emission estimates are currently being

reported by the U.S. using AR4 GWP values9. Blends of HFCs are also commonly used as

refrigerant; for example, R-410A is common refrigerant used in air conditioning that is a mixture of

difluoromethane (HFC-32) and pentafluoroethane (HFC-125), resulting in a GWP of 2,088 (AR4;

1,924 for AR5).

Table 1. Examples of global warming potentials of commonly used HFCs

100-year GWP Values

Gas AR4* AR5**

HFC-23 14,800 12,400

HFC-32 675 677

HFC-125 3,500 3,170

HFC-134a 1,430 1,300

HFC-143a 4,470 4,800

HFC-152a 124 138

HFC-227ea 3,220 3,350

HFC-236fa 9,810 8,060

HFC-4310mee 1,640 1,650 * Intergovernmental Panel on Climate Change, Fourth Assessment Report (AR4);

official emission estimates are reported by the U.S. using AR4 GWP values

** Intergovernmental Panel on Climate Change, Fifth Assessment Report (AR5)

5 United States Environmental Protection Agency, December 2009. Endangerment and Cause or Contribute Findings for Greenhouse

Gases under the Clean Air Act. Regulatory website. Accessible via: https://www.epa.gov/ghgemissions/endangerment-and-cause-or-

contribute-findings-greenhouse-gases-under-clean-air-act. 6 United States Environmental Protection Agency. April 2019. Inventory of U.S. Greenhouse Gas Emissions and Sinks 1990-2017.

Accessible via: https://www.epa.gov/sites/production/files/2019-04/documents/us-ghg-inventory-2019-main-text.pdf 7 The Intergovernmental Panel on Climate Change. September 2017. Fourth Assessment Report on climate Change. Accessible via:

https://www.ipcc.ch/assessment-report/ar4/. 8 The Intergovernmental Panel on Climate Change. September 2014. Fifth Assessment Report on Climate Change. Accessible via:

https://www.ipcc.ch/assessment-report/ar5/. 9 The Intergovernmental Panel on Climate Change. September 2014. Fourth Assessment Report on Climate Change. Accessible via:

https://www.ipcc.ch/assessment-report/ar5/.

5

As discussed in the following section, HFCs were originally introduced as a substitution ozone-

depleting substances (ODS), within the same applications, as part of the phase-out established in

accordance to the Montreal Protocol10.

B. Background to this Initiative

Under the Montreal Protocol11, chlorofluorocarbons (CFCs) were recognized as ozone depletion

substances (ODS), and the EPA defined a phase-out schedule for the different classes of ODS (Class

I and Class II). The phase-out targets the ODS that are produced or imported in the country, and the

original schedule was amended over time.

The EPA rule for Class I substances (CFCs, halons, carbon tetrachloride, and methyl chloroform)

required the producers to gradually reduce production of these chemicals and completely phase them

out by January 1, 2000 (was later accelerated). Class II ODS (HCFCs – that were developed as

transitional substitutes for class I) are used in a variety of applications, including refrigeration, air

conditioning, foam blowing, solvents, aerosols, and fire suppression. Currently, there are 34 HCFCs

subject to the EPA phase-out, but only a few are still commonly used (the most common being

HCFC-22, HCFC-141b, HCFC-142-b). As a Party of the Montreal Protocol, the U.S.A. must

incrementally decrease HCFCs consumption and production, to completion in 2030. HCFCs usage

must be reduced to at least 99.5% below the baseline levels, in 2020. Section 605 of the CAA

establishes the U.S. strategy and framework.

HFCs were developed to address the phase-out of the HCFCs (same applications), however they

were recognized as greenhouse gases (GHGs) with high Global Warming Potentials (GWPs), and

because of the increasing urgency of climate action, the Kigali Amendment12 to the Montreal

Protocol requires the participating countries to cut their production and consumption of HFCs by

more than 80% by 2050.

The U.S. EPA sought to phase-down the use and manufacturing of these high-GWP pollutants

through its Significant New Alternatives Policy (SNAP) program13. However, on August 8, 2017,

the D.C. Court of Appeals limited the agency’s ability to require replacement of HFCs due to a

decision resulting from the Mexichem Fluor, Inc. (petitioner) v. EPA (respondent) case14. Although

legal actions have been initiated to defend the SNAP rules in court, state action is required to

maintain HFCs prohibitions schedule, in line with the vacated SNAP rules.

Delaware’s Department of Natural Resources and Environmental Control has authority to regulate

the use of HFCs upon Del. Code Title 7, Chapter 60 §§ 6001(c) & 6010 which authorize the

10 United Nations. About Montreal Protocol Website. Accessible via: https://www.unenvironment.org/ozonaction/who-we-are/about-

montreal-protocol 11 United Nations. About Montreal Protocol Website. Accessible via: https://www.unenvironment.org/ozonaction/who-we-are/about-

montreal-protocol 12 United Nations Environment Programme. The Kigali Amendment to the Montreal protocol: another global commitment to stop

climate change. Accessible via: https://www.unenvironment.org/news-and-stories/news/kigali-amendment-montreal-protocol-another-

global-commitment-stop-climate 13 United States Environmental Protection Agency, Significant New Alternatives Policy, Regulatory website. Accessible via:

https://www.epa.gov/snap/snap-regulations, 14 United States Court of Appeals for the District of Columbia Circuit. August 8, 2017. Mexichem Fluor, Inc. v. EPA. Accessible via:

https://www.cadc.uscourts.gov/internet/opinions.nsf/3EDC3D4817D618CF8525817600508EF4/$file/15-1328-1687707.pdf

6

Department to adopt rules to control air pollution, as necessary to protect the public health, safety,

and welfare.

The Division of Air Quality is developing regulation 7 DE Admin. Code 1151 “Prohibitions on Use

of Certain Hydrofluorocarbons in Specific End-Uses”, pursuant to the Governor’s directive15 and

House Concurrent Resolution 6016. This proposed new regulation addresses the critical need to phase

down the use of high-GWP gases, to confront climate change.

C. Meeting Delaware’s Greenhouse Gas Reduction Goals

Nationally, the use of HFCs in air conditioning, refrigeration, and other applications has been rapidly

increasing, while emissions of HFCs have been increasing by as much 8% annually17.

According to the 2016 Delaware GHG Inventory report, HFC emissions are projected to increase in

multiple economic sectors18. HFCs are the fastest growing type of GHG emissions in Delaware,

increasing by 36% from 2016 to 2025, as seen in Figure 1. Other GHG emissions, including N2O,

methane and SF6, are projected to remain constant or decrease in that same time period.

Figure 1. Emission estimates and projections of N2O, CH4, and SF6, and HFCs in Delaware from 1990 to 2030

15 Delaware News, June 30, 2019. Governor’s Directive on Delaware to Eliminate HFCs to Confront Climate. Accessible via:

https://news.delaware.gov/2019/06/30/delaware-to-eliminate-hfcs-to-confront-climate-change/ 16 Delaware General Assembly. Passed on June 30, 2019. House Concurrent Resolution 60. Accessible via:

http://legis.delaware.gov/BillDetail/47864 17 Delaware General Assembly. Passed on June 30, 2019. House Concurrent Resolution 60. Accessible via:

http://legis.delaware.gov/BillDetail/47864 18 Delaware Department of Natural Resources and Environmental Control. Division of Air Quality. July 2019. Delaware’s 2016

Greenhouse Gas Emissions Inventory. Accessible via: http://www.dnrec.delaware.gov/Air/Documents/2016-de-ghg-inventory.pdf

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

1990 2000 2010 2020 2030

No

n-C

O2

GH

G e

mis

sio

ns

(mto

n

CO

2e)

Delaware Non-CO2 GHG Emissions from 1990 to 2030

N2O CH4 SF6 HFCs

7

Further, HFC emissions are anticipated to

contribute to 4.5% of the total gross GHG

emissions (in MmtCO2e) in Delaware in 2025

(Figure 2). The proposed regulation will

establish prohibitions for specific end-uses of

certain HFC refrigerants in order to reduce

associated GHG emissions. The reduction of

these high-GWP emissions will help to reduce

the negative impacts of climate change in

Delaware and help the State to achieve its

GHG emissions reduction commitment.

According Delaware’s 2016 Greenhouse Gas

Emissions Inventory19, the State is not on

track to meet its GHG emission reduction

target commitment of 26%-28% below 2005

levels, by 202520. Currently, the State is

projected to achieve a 16% reduction in GHG

emissions from 2005 levels by 2025.

As HFC emissions are growing at a rapid rate in Delaware, the proposed new regulation on the

manufacture and use of HFCs in the State is an important aspect to achieve the state’s GHG

reduction goals, as well as mitigate the environmental, social and, health risks related to climate

change. Climate change poses significant threat especially to Delaware as a coastal state, which has

the lowest average elevation in the country21. Among Delaware’s industries and infrastructure that

are vulnerable to the effects of climate change are the tourism, real estate, agriculture, transportation,

wastewater, and more. Further, human health, air and water quality, and ecosystems are at

increasing risk with the strengthening consequences of climate change22.

Delaware is already experiencing climate change, which is causing increased temperatures, sea

levels rise and heavy precipitation events.23 Since 1900 the average annual temperature rose by

2°Fahrenheit, and average temperatures are expected to increase another 2.5 to 4.5 degrees

Fahrenheit by mid-century (2050) and by as much as 8 degrees by 2100 (late century). By 2100,

average precipitation is expected to increase by about 10 percent. Heavy rainstorms and the potential

for flooding are expected to become more frequent and more intense. Increasing temperatures may

19 Delaware Department of Natural Resources and Environmental Control. Division of Air Quality. July 2019. Delaware’s 2016

Greenhouse Gas Emissions Inventory. Accessible via: http://www.dnrec.delaware.gov/Air/Documents/2016-de-ghg-inventory.pdf 20 United States Climate Alliance. Alliance Member State Commitments. Accessible via: http://www.usclimatealliance.org/alliance-

principles. 21 University of Delaware. 2018. Research on Sea Level Rise. Accessible via:

https://www1.udel.edu/researchmagazine/issue/vol4_no1/slr_intro.html 22 Delaware Department of Natural Resources and Environmental Control. Division of Energy and Climate. February 2014. Delaware

Climate Change Impact Assessment. Accessible via:

http://www.dnrec.delaware.gov/energy/Documents/Climate%20Change%202013-2014/DCCIA%20interior_full_dated.pdf 23 Delaware Department of Natural Resources and Environmental Control. Division of Energy and Climate. February 2014. Delaware

Climate Change Impact Assessment. Accessible via:

http://www.dnrec.delaware.gov/energy/Documents/Climate%20Change%202013-2014/DCCIA%20interior_full_dated.pdf

87.2%3.8%

4.5%0.1%

4.5%

DE GHG Emissions by Gas

CO2 N2O CH4 SF6 (T&D) HFCs

Figure 2. Breakdown of projected GHG emissions

(MmtCO2e) in DE in 2025

8

increase the risk of serious illness such as heat stroke, especially for our state’s vulnerable citizens.

Increased temperatures may also increase the number of days when ground-level ozone

concentrations exceed health-based standards, which will impact children, the elderly, and healthy

individuals. Changes in precipitation patterns and temperature may also impact how disease spreads,

including mosquito and tick-borne diseases.

Because of its location, low average elevation, and dependence on the coast, Delaware is particularly

vulnerable to the effects of rising sea levels including loss of low-lying land and structures, saltwater

intrusion into ground and surface waters, and increased coastal flooding from storm events.

Statewide, between 8% and 11% of the state’s land area could be inundated by sea level rise by the

year 2100.24 Sea level rise is likely to affect the condition of roads and bridges and other

infrastructure throughout the state, including access routes and evacuation routes to many beach

communities and other low-lying areas. Although the direct impacts from sea level rise will be felt

primarily in areas near tidal waters, every Delawarean is likely to be affected whether through

increased costs of maintaining public infrastructure, decreased tax base, loss of recreational

opportunities or loss of community character.”

Because climate change is impacting Delaware’s residents, natural resources, infrastructure and

industries, Delaware believes that strong actions to mitigate greenhouse gases are necessary to

ensure a high quality of life and economic vitality for generations to come. Following the 2017

decision by the Federal administration to withdraw the U.S. from the Paris climate agreement25, the

U.S. Climate Alliance26 was formed by a bi-partisan coalition of 17 states committed to reducing

greenhouse gas emissions consistent with the goals of the Paris Agreement. Delaware is a founding

member of the U.S. Climate Alliance, and in joining the coalition, committed to reduce its economy-

wide GHG emissions by 26-28% by 2025 from a 2005 baseline.

24 Department of Natural Resources and Environmental Control. July 2012. Preparing for Tomorrow’s High Tide – Sea Level

Rise Vulnerability Assessment for the State of Delaware. Accessible via:

http://www.dnrec.delaware.gov/coastal/Pages/SLR/DelawareSLRVulnerabilityAssessment.aspx 25 United Nations Climate Change. The Paris Agreement aims to strengthen the global response to the threat of climate change by

keeping a global temperature rise this century well below 2 degrees Celsius above pre-industrial levels and to pursue efforts to limit

the temperature increase even further to 1.5 degrees Celsius. Accessible via: https://unfccc.int/process-and- meetings/the-paris-

agreement/the-paris-agreement 26 United States Climate Alliance is a bipartisan coalition of governors committed to reducing greenhouse gas emissions consistent

with the goals of the Paris Agreement. Accessible via: https://www.usclimatealliance.org/

9

III. OVERVIEW OF THE PROPOSED REGULATION 7 DE ADMIN CODE 1151

In accordance with the Governor’s directive, the proposed new regulation 7 DE Amin. Code 1151

Prohibitions on Use of Certain Hydrofluorocarbons in Specific End-Uses establishes the

prohibitions and the requirements for the use and manufacture of hydrofluorocarbons in the State of

Delaware, according to their specific end usage, which include air conditioning and refrigeration

equipment, aerosol propellants, and foam end-uses.

A. Applicability

The proposed regulation will establish prohibitions for any person who sells, offers for sale, leases,

rents, installs, uses or manufactures in the State of Delaware, any product or equipment that uses a

substance in any of the end-uses listed under the list of prohibited substances covered by the

regulation.

As a flexibility mechanism, the Department proposed language to allow the use of product or

equipment containing a prohibited substance if this product or equipment was acquired prior to the

applicable effective date of prohibition, unless an existing system is retrofit. Additionally, the

Department has proposed language to clarify that, unless an operation constitute a retrofit or

reclassifies a system as “new”, this proposed new regulation does not prevent the use of a prohibited

substance in the servicing, maintenance and repair operations of an existing equipment, in any end-

use covered by the proposed new regulation.

The Department has also proposed language to allow the sale, importation, exportation, installation,

and use of product or equipment containing a prohibited substance after the specified date of

prohibition, only if the product or equipment was manufactured prior to the applicable date of

prohibition.

B. Prohibitions

Table 2 below lists each prohibited substance and the effective date of its prohibition, according to

its specific end-use. The prohibitions and effective dates detailed in the proposed new regulation

were informed by the EPA SNAP rules 20 and 21 intended phase down schedule for the different

substances, which took into consideration many economic constraints for the industry, along with

the availability of viable and cost-effective low-GWP alternatives.

Table 2: Proposed Regulation’s List of Prohibited Substances and their Effective Date of

Prohibition, by End-Use.

End-use and Prohibited substances

End-use Category: Aerosol Propellants

End-use Prohibited Substances Effective Date

Aerosol Propellants HFC-125, HFC-134a, HFC-227ea and blends

of HFC-227ea and HFC 134a. January 1, 2021

End-use Category: Air Conditioning

End-use Prohibited Substances Effective Date

10

Centrifugal chillers

(new)

FOR12A, FOR12B, HFC-134a, HFC-227ea,

HFC-236fa, HFC245fa, R-125/ 134a/ 600a

(28.1/70/1.9), R-125/ 290/ 134a/ 600a

(55.0/1.0/42.5/1.5), R-404A, R-407C, R-410A,

R-410B, R-417A, R-421A, R-422B, R-422C,

R-422D, R-423A, R-424A, R-434A, R438A,

R-507A, RS-44 (2003 composition), THR-03.

January 1, 2024

Positive

displacement chillers

(new)

FOR12A, FOR12B, HFC-134a, HFC-227ea,

KDD6, R125/ 134a/ 600a (28.1/70/1.9), R-

125/ 290/ 134a/ 600a (55.0/1.0/42.5/1.5), R-

404A, R-407C, R-410A, R-410B, R-417A, R-

421A, R-422B, R-422C, R-422D, R-424A, R-

434A, R-437A, R438A, R-507A, RS-44 (2003

composition), SP34E, THR-03.

January 1, 2024

End-use Category: Refrigeration

End-use Prohibited Substances Effective Date

Cold storage

warehouses (new)

HFC-227ea, R-125/290/134a/600a

(55.0/1.0/42.5/1.5), R404A, R-407A, R-407B,

R-410A, R-410B, R-417A, R-421A, R421B,

R-422A, R-422B, R-422C, R-422D, R-423A,

R-424A, R428A, R-434A, R-438A, R-507A,

RS-44 (2003 composition).

January 1, 2023

Household

refrigerators and

freezers (new)

FOR12A, FOR12B, HFC-134a, KDD6,

R-125/290/134a/600a (55.0/1.0/42.5/1.5),

R-404A, R-407C, R-407F, R-410A, R-410B,

R-417A, R-421A, R-421B, R-422A, R-422B,

R-422C, R-422D, R424A, R-426A, R-428A,

R-434A, R-437A, R-438A, R-507A, RS24

(2002 formulation), RS-44 (2003 formulation),

SP34E, THR-03.

January 1, 2022

Household

refrigerators and

freezers—compact

(new)

FOR12A, FOR12B, HFC-134a, KDD6,

R-125/290/134a/600a (55.0/1.0/42.5/1.5),

R-404A, R-407C, R-407F, R-410A, R-410B,

R-417A, R-421A, R-421B, R-422A, R-422B,

R-422C, R-422D, R424A, R-426A, R-428A,

R-434A, R-437A, R-438A, R-507A, RS24

(2002 formulation), RS-44 (2003 formulation),

SP34E, THR-03.

January 1, 2021

Household

refrigerators and

freezers—built in

appliances (new)

FOR12A, FOR12B, HFC-134a, KDD6,

R-125/290/134a/600a (55.0/1.0/42.5/1.5),

R-404A, R-407C, R-407F, R-410A, R-410B,

R-417A, R-421A, R-421B, R-422A, R-422B,

R-422C, R-422D, R424A, R-426A, R-428A,

R-434A, R-437A, R-438A, R-507A, RS24

(2002 formulation), RS-44 (2003 formulation),

SP34E, THR-03.

January 1, 2023

11

Supermarket

Systems (Retrofit)

R-404A, R-407B, R-421B, R-422A, R-422C,

R-422D, R428A, R-434A, R-507A January 1, 2021

Supermarket

Systems (New)

HFC-227ea, R-404A, R-407B, R-421B,

R-422A, R-422C, R-422D, R-428A, R-434A,

R-507A.

January 1, 2021

Remote Condensing

Units (Retrofit)

R-404A, R-407B, R-421B, R-422A, R-422C,

R-422D, R428A, R-434A, R-507A. January 1, 2021

Remote Condensing

Units (New)

HFC-227ea, R-404A, R-407B, R-421B,

R-422A, R-422C, R-422D, R-428A, R-434A,

R-507A.

January 1, 2021

Stand-Alone Units

(Retrofit) R-404A, R-507A. January 1, 2021

Stand-Alone

Medium-

Temperature Units

(New)

FOR12A, FOR12B, HFC-134a, HFC-227ea,

KDD6, R125/290/134a/600a

(55.0/1.0/42.5/1.5), R-404A, R407A, R-407B,

R-407C, R-407F, R-410A, R-410B, R417A,

R-421A, R-421B, R-422A, R-422B, R-422C,

R422D, R-424A, R-426A, R-428A, R-434A,

R-437A, R438A, R-507A, RS-24 (2002

formulation), RS-44 (2003 formulation),

SP34E, THR-03.

January 1, 2021

Stand-Alone Low-

Temperature Units

(New)

HFC-227ea, KDD6, R-125/290/134a/600a

(55.0/1.0/42.5/1.5), R-404A, R-407A, R-407B,

R-407C, R-407F, R-410A, R-410B, R-417A,

R-421A, R-421B, R422A, R-422B, R-422C,

R-422D, R-424A, R-428A, R434A, R-437A,

R-438A, R-507A, RS-44 (2003 formulation).

January 1, 2021

Refrigerated food

processing and

dispensing

equipment (New)

HFC-227ea, KDD6, R-125/ 290/ 134a/ 600a

(55.0/1.0/42.5/1.5), R-404A, R-407A, R-407B,

R-407C, R-407F, R-410A, R-410B, R417A,

R-421A, R-421B, R-422A, R-422B, R-422C,

R-422D, R424A, R-428A, R-434A, R-437A,

R-438A, R-507A, RS-44 (2003 formulation).

January 1, 2021

Vending Machines

(Retrofit) R-404A, R-507A. January 1, 2021

Vending Machines

(New)

FOR12A, FOR12B, HFC-134a, KDD6,

R125/290/134a/600a (55.0/1.0/42.5/1.5),

R-404A, R407C, R-410A, R-410B, R-417A,

R-421A, R-422B, R422C, R-422D, R-426A,

R-437A, R-438A, R-507A, RS-24 (2002

formulation), SP34E.

January 1, 2022

End-use Category: Foams

End-use Prohibited Substances Effective Date

Rigid Polyurethane

and

Polyisocyanurate

HFC 134a, HFC 245fa, HFC 365mfc, and

blends thereof. January 1, 2021

12

Laminated

Boardstock

Flexible

Polyurethane

HFC-134a, HFC-245fa, HFC-365mfc, and

blends thereof. January 1, 2021

Integral Skin

Polyurethane

HFC-134a, HFC-245fa, HFC-365mfc, and

blends thereof; Formacel TI, Formacel Z-6. January 1, 2021

Polystyrene

Extruded Sheet

HFC-134a, HFC-245fa, HFC-365mfc, and

blends thereof; Formacel TI, Formacel Z-6. January 1, 2021

Phenolic Insulation

Board and Bunstock

HFC-143a, HFC-134a, HFC-245fa, HFC-

365mfc, and blends thereof. January 1, 2021

Rigid Polyurethane

Slabstock and Other

HFC-134a, HFC-245fa, HFC-365mfc and

blends thereof; Formacel TI, Formacel Z-6. January 1, 2021

Rigid Polyurethane

Appliance Foam

HFC-134a, HFC-245fa, HFC-365mfc and

blends thereof; Formacel TI, Formacel Z-6. January 1, 2021

Rigid Polyurethane

Commercial

Refrigeration and

Sandwich Panels

HFC-134a, HFC-245fa, HFC-365mfc, and

blends thereof; Formacel TI, Formacel Z-6. January 1, 2021

Polyolefin HFC-134a, HFC-245fa, HFC-365mfc, and

blends thereof; Formacel TI, Formacel Z-6. January 1, 2021

Rigid Polyurethane

Marine Flotation

Foam

HFC-134a, HFC-245fa, HFC-365mfc and

blends thereof; Formacel TI, Formacel Z-6. January 1, 2021

Polystyrene

Extruded Boardstock

and Billet (XPS)

HFC-134a, HFC-245fa, HFC-365mfc, and

blends thereof; Formacel TI, Formacel B,

Formacel Z-6.

January 1, 2021

Rigid polyurethane

(PU) high-pressure

two-component

spray foam

HFC-134a, HFC-245fa, and blends thereof;

blends of HFC365mfc with at least 4 percent

HFC-245fa, and commercial blends of HFC-

365mfc with 7 to 13 percent HFC-227ea and

the remainder HFC-365mfc; Formacel TI.

January 1, 2021

Rigid PU low-

pressure two-

component spray

foam

HFC-134a, HFC-245fa, and blends thereof;

blends of HFC365mfc with at least 4 percent

HFC-245fa, and commercial blends of HFC-

365mfc with 7 to 13 percent HFC-227ea and

the remainder HFC-365mfc; Formacel TI.

January 1, 2021

Rigid PU one-

component foam

sealants

HFC-134a, HFC-245fa, and blends thereof;

blends of HFC365mfc with at least 4 percent

HFC-245fa, and commercial blends of HFC-

365mfc with 7 to 13 percent HFC-227ea and

the remainder HFC-365mfc; Formacel TI.

January 1, 2021

The EPA SNAP rules prohibition dates that pre-dated December 31st, 2020 were revised to be

January 1, 2021 under this proposed new regulation, to accommodate for the Department’s

regulatory process development.

13

Additionally, the Department has allowed a one-year extension (revised to January 1st, 2022) for the

new vending machine end-use category, before the effective date of prohibition for all substances

covered under this end-use. This extension resulted from industry stakeholders informing the

Department that the current preferred low GWP refrigerant alternative (R-290) for the vending

machine industry is currently designated as a flammable chemical A-3 by the American Society of

Heating, refrigerating and Air-Conditioning Engineers, Inc. (ASHRAE) guideline 3427. UL 541 and

ASHRAE 15 have authority over products containing this chemical and their placement within

buildings, and pursuant to these requirements, in the US, vending machines with any refrigerant

other than A1 (non-flammable) classification may not be placed in locations of ingress, egress,

hallways, or lobby areas of any buildings, at the risk of severe liabilities in case of incident. The

industry informed the Department of the current work with UL and ASHRAE that may allow R-290

to work within the safety standards, by modifying UL 541 and ASHRAE 15. For these reasons, the

Department is proposing to allow the industry a one-year extension to establish their compliance

pathway.

C. Disclosure Statement

This proposed regulation establishes disclosure requirements for manufacturers of the products and

equipment covered under the proposed new regulation. By requiring a disclosure statement or label

to be available to the buyer of products and/or equipment covered under this proposed new

regulation, the Department aims to ensure that said buyer can verify that their purchase follows State

regulation.

In setting the disclosure statement requirements, the Department is proposing language to allow

flexibility for manufacturers to comply, while offering the customers transparent and easily

accessible information on their purchase.

The Department has proposed the following disclosure statement requirements, to be made available

to the buyer accompanying the product or equipment covered under this proposed regulation. These

requirements were crafted in collaboration with many industry-specific stakeholders that informed

the process by highlighting the practical challenges, and existing practices in their respective field.

I) For motor-bearing refrigeration and air-conditioning equipment that is neither factory-

charged nor pre-charged with refrigerant. The disclosure or label will include the

following statement:

“This equipment is prohibited from using any substance on the “List of Prohibited

Substances” for that specific end-use, in accordance with State regulations for

hydrofluorocarbons.”

II) For motor-bearing refrigeration and air-conditioning equipment that is factory-charged or

pre-charged with refrigerant. The disclosure or label will include the following

information:

27 ANSI/ASHRAE Standard 34 -2019, Designation and Safety Classification of Refrigerants. Accessible via

https://www.ashrae.org/technical-resources/standards-and-guidelines/standards-addenda/addenda-to-standard-34-2019

14

a. The date of manufacture

b. The refrigerant and foam blowing agent that the product/equipment contains

For this category, the Department has proposed language to allow existing labels to be

used as an alternative compliance path, if they contain the required information

mentioned above.

III) For foam products, the disclosure or label will comply with either one of the following

options:

a. Option 1 should include de following information:

i. The date of manufacture

ii. The foam blowing agent that the product contains.

1. For this criterion, the Department has proposed language to allow

Safety Data Sheet28 as an alternative compliance path.

b. Option 2 should include the following statement:

“Where sold, compliant with State HFC regulations.”

IV) For aerosol propellants, the disclosure or label will comply with either one of the

following options:

a. Option 1 should include de following information:

i. The date of manufacture

1. For this criterion, the Department has proposed language to allow a

date code29 as an alternative compliance path.

ii. The aerosol propellant the product contains.

1. For this criterion, the Department has proposed language to allow

Safety Data Sheet30 as an alternative compliance path.

b. Option 2 should include the following statement:

“Where sold, compliant with State HFC regulations.”

28 A reference to a Safety Data Sheet that is in compliance with 29 CFR 1910.1200 requirements, and identifies the foam blowing

agent the product contains. 29 Where a date code representing the date, shall be indicated on the label, lid, or bottom of the container. If the manufacturer uses a date

code for any product, the manufacturer shall file an explanation of each code to the Department. 30 A reference to a Safety Data Sheet that is in compliance with 29 CFR 1910.1200 requirements, and identifies the propellant the

product contains.

15

IV. ECONOMIC IMPACTS

A. EPA’s SNAP Economic Impact Analysis

I) Aerosols, foams, commercial refrigeration and motor vehicle air conditioning end-uses

EPA’s analysis estimates the nationwide potential annualized compliance costs associated with the

requirements to change certain high-GWP alternatives used in aerosols, foams, commercial

refrigeration, and motor vehicle air conditioning (SNAP 20)31, to range from $28.0 million to $50.6

million, in 2013 dollars using a 3% discount rate. When combined with the estimated savings, the

total annualized costs are estimated to range from $0.2 million to $31.9 million. The estimated

annualized compliance costs for these specific end-uses are shown in Table 3, below.

For example, as illustrated in Table 3, no annual costs or savings are assumed for Supermarket

Systems and Remote Condensing Units, since supermarkets the incremental cost of using R-407A in

new systems in lieu of R-404A or R-507A is negligible for end-users (e.g. supermarkets), given that

the composition of the chemicals are similar the cost of the refrigerant is assumed to be the same.

Scaling down these national estimates of annualized compliance costs associated with SNAP 20, the

highest potential annualized costs (including savings) for the entire State of Delaware are estimated

to total $93,460 in 2013 U.S. dollars32

31 ICF International. July 2015. Revised Cost Analysis for Regulatory Changes to the Listing Status of High-GWP Alternatives.

Accessible via: https://www.regulations.gov/document?D=EPA-HQ-OAR-2014-0198-0242 32 Using the United States Census Bureau population data of 967,171 people and 330,119,397 for Delaware population and National

population respectively, on December 10, 2019. Accessible via: https://www.census.gov/popclock/

16

Table 3. U.S. EPA’s National Estimate of Annualized Compliance Cost of the Regulatory Changes Associated with SNAP 20, using a 3% Discount

Rate33

Sector

Higher Lower

Annualized Upfront Costsa

Annual Savingsb Annualized

Upfront Cost and Annual Savingsc

Annualized Upfront Costsa

Annual Savingsb Annualized

Upfront Cost and Annual Savingsb

Motor Vehicle Air Conditioning – Exportsd $8,760,000 $0 $8,760,000 $0 $0 $0

Aerosols $860,000 ($5,250,000) $0c $210,000 ($5,250,000) ($5,040,000)

Foams $26,940,000 ($14,090,000) $21,860,000 $18,910,000 ($14,090,000) $4,820,000

Polystyrene foam product manufacturing $18,400,000 $0 $18,400,000 $11,810,000 $0 $11,810,000

Household refrigerator and freezer manufacturing

$2,280,000 ($6,600,000) $0c $1,900,000 ($6,600,000) ($4,700,000)

Commercial and industrial refrigeration equipment manufacturing

$2,790,000 ($7,480,000) $0c $2,320,000 ($7,480,000) ($5,160,000)

Urethane and other foam product (except polystyrene) manufacturing

$3,480,000 ($10,000) $3,470,000 $2,890,000 ($10,000) $2,880,000

Commercial Refrigeration $1,280,000 $0 $1,280,000 $400,000 $0 $400,000

New Equipment $1,280,000 $0 $1,280,000 $400,000 $0 $400,000

Supermarket systems $0 $0 $0 $0 $0 $0

Remote condensing units $0 $0 $0 $0 $0 $0

Stand-alone equipment $1,080,000 $0 $1,080,000 $320,000 $0 $320,000

Vending machines $200,000 $0 $200,000 $80,000 $0 $80,000

Retrofits $0 $0 $0 $0 $0 $0

Supermarket systems $0 $0 $0 $0 $0 $0

Remote condensing units $0 $0 $0 $0 $0 $0

Stand-alone equipment $0 $0 $0 $0 $0 $0

Vending machines $0 $0 $0 $0 $0 $0

ALL SECTORS $37,840,000 ($19,340,000) $31,910,000c $19,530,000 ($19,340,000) $180,000 Totals may not sum due to independent rounding. a Includes annualized upfront capital costs as well as recurring annual costs. b Savings are shown as negative values; costs are shown as positive values. c Annualized upfront costs and annual savings have been rounded to zero rather than a negative combined annualized upfront costs and annual savings for the higher estimate. The rounding assumes that at least some portion of the industry would have made the change even in the absence of the regulation. d Costs are estimated on a per vehicle basis and are assumed for a subset of the export market only.

33 Id at 31.

17

II) Refrigeration, air conditioning, foams and fire suppression end-uses

EPA’s analysis estimates the nationwide potential annualized compliance costs associated with

the requirements to change certain high-GWP alternatives used in refrigeration and air

conditioning, foams, and fire suppression (SNAP 21)34, to range from $59.3 million to $71.2

million, in 2015 dollars using a 3% discount rate, as shown in Table 4. For these end-uses,

however, the potential costs savings associated with the changes in energy efficiency were not

estimated because energy efficiency was related to a large number of factors, including

equipment design, and equipment characteristics. Energy efficiency does not just depend on the

refrigerant or foam blowing agent used.

For example, in EPA’s estimate illustrated in Table 4, manufacturers of refrigerated food

processing and dispensing equipment incur an incremental cost of $4-5 for each for each piece of

equipment they produce using R-450A in place of R-404A (regulated substance). With units

estimated to sell for $10,000 a piece on average, manufacturers are estimated to incur, on

average, an annual incremental cost of ~$200-$200,000 (2015 dollars), depending on the size of

the firm.

Table 4. U.S. EPA’s National Estimate of Annualized Compliance Cost of the Regulatory Changes Associated

with SNAP 21, using a 3% Discount Rate35

Sector Estimated Number of Businesses Impacted

by the Rulea

Higher Lower

Annualized Costsa

Annualized Costsa

Refrigeration and Air Conditioning 50 $69,659,000 $58,213,000

Centrifugal Chillers <10

$29,352,000 $25,879,000

Positive Displacement Chillers $33,799,000 $27,039,000

Food Processing and Dispensing Equipment 20 $419,000 $335,000

Household Refrigerators and Freezers 20 $5,604,000 $4,616,000

Cold Storage Warehouses <10 $142,000 $69,000

Foams 50 $1,560,000 $1,118,000

High-Pressure Two-Component Spray Foam 40 $1,089,000 $726,000

Low-Pressure Two-Component Spray Foam <10 $467,000 $359,000

One-Component Foam <10 $5,000 $3,000

Flexible Polyurethane 0 $0 $0

Fire Suppression 0 $0 $0

Total Flooding 0 $0 $0

ALL SECTORS 100 $71,219,000 $59,331,000 Totals may not sum due to independent rounding. a Includes annualized upfront capital costs as well as recurring annual costs.

34 ICF International. September 2016. Cost Analysis for Regulatory Changes to the Listing Status of High-GWP

Alternatives used in Refrigeration and Air Conditioning, Foams, and Fire Suppression. 35 ICF International. September 2016. Cost Analysis for Regulatory Changes to the Listing Status of High-GWP

Alternatives used in Refrigeration and Air Conditioning, Foams, and Fire Suppression.

18

Scaling down these annualized compliance costs associated with SNAP 21, the highest potential

annualized costs for the entire State of Delaware are estimated to total $208,599 in 2015 U.S.

dollars36.

III) SNAP 20 and 21 entities in the State of Delaware

EPA’s Economic Impact Screening Analyses37 uses the North American Industry Classification

System (NAICS) codes for all sectors, potentially affected by the SNAP rules to clarify the

industry sectors covered under each end-use.

For illustration purposes, Table 5 below lists all sector of activities targeted by the vacated SNAP

rules, and their corresponding NAICS codes (used for EPA’s Economic Impact Analyses), along

with the number of corresponding entities in Delaware falling in these NAICS codes and

potentially impacted by the proposal.

It should be noted that EPA’s economic impact analyses are likely to overestimate the

compliance costs as they would be implemented in Delaware with prohibitions dates starting not

earlier than January 2021. The reasons include:

1) EPA’s estimates of costs are primarily applied to manufacturers that are not located in

Delaware state,

2) The current proposal does not cover Motor Vehicle Air Conditioning end-uses, which

was included in the EPA rules,

3) EPA rules had their first effective date of prohibitions starting in 2016, thus some of the

covered entities have already made the transition to alternative substances and already

incurred the costs that would be associated with this proposal, and

4) The current proposal does not contain record-keeping requirements where the EPA

SNAP rules did.

36 Using the United States Census Bureau population data of 967,171 people and 330,119,397 for Delaware population and

National population respectively, on December 10, 2019. Accessible via: https://www.census.gov/popclock/ 37 ICF International for U.S. Environmental Protection Agency. July 2015. Economic Impact Screening Analysis for Regulatory

Changes to the Listing Status of High-GWP Alternatives – Revised. Accessible via

https://www.regulations.gov/document?D=EPA-HQ-OAR-2014-0198-0240 And

ICF International for U.S. Environmental Protection Agency. September 2016. Economic Impact Screening Analysis for

Regulatory Changes to the Listing Status of High-GWP Alternatives used in Refrigeration and Air Conditioning, Foams, and Fire

Suppression.

19

Table 5. Identified Delaware Entities by NAICS Codes, based on EPA’s Screening Analysis for SNAP rules 20 and 21

Impacted Entities

Category NAICS Code Number of Entities in Delaware

Motor Vehicle Air Conditioning

NAICS 336111 Automobile Manufacturing 0

NAICS 336112 Light Truck and Utility Vehicle Manufacturing

0

Aerosols The broader industries represented by these NAICS codes may also manufacture a majority of products which are not aerosols, and aerosol products that are already using non-HFC technologies.

NAICS 325620 Perfumes, makeups and other toiletries

1

NAICS 325612 Polishes and other sanitation goods

1

NAICS 325520 Adhesive manufacturing 1

NAICS 324191 Petroleum lubricating oil and grease manufacturing

1

NAICS 325998 All other miscellaneous chemical product and preparation manufacturing

8

NAICS 325412 Pharmaceutical preparation manufacturing

16

NAICS 325199 All other basic organic chemical manufacturing

6

NAICS 339113 Surgical appliance and supplies manufacturing

8

Foam Sector

NAICS 326140 Polystyrene foam product manufacturing

1

NAICS 335222 Household refrigerator and home freezer manufacturing

0

NAICS 333415 Air-conditioning and warm air heating equipment and commercial and industrial refrigeration equipment manufacturing

4

20

Category NAICS Code Number of Entities in Delaware

NAICS 326150 Urethane and other foam product (except polystyrene) manufacturing

5

Remote Retail Food Equipment

NAICS 44511 Supermarkets and other grocery (except convenience) stores

157

NAICS 44512 Convenience stores 103

NAICS 44521 Specialty food stores – meat markets

20

NAICS 44522 Specialty food stores – fish and seafood markets

20

NAICS 44523 Specialty food stores – fruit and vegetable markets

15

NAICS 445291 Specialty food stores – baked goods stores

4

NAICS 445292 Specialty food stores – confectionary and nut stores

12

NAICS 445299 All other specialty food stores

12

NAICS 4453 Beer, wine, and liquor stores 258

NAICS 453110 Florist 35

NAICS 44711 Gasoline stations with convenience stores

165

NAICS 44719 Other gasoline stations 15

NAICS 446110 Pharmacies and drug stores 265

NAICS 452311 Warehouse clubs and superstores

24

NAICS 452319 All other general merchandise stores

129

21

Category NAICS Code Number of Entities in Delaware

NAICS 72111 Hotels (except casino hotels) and motels

171

NAICS 72112 Casino hotels 1

NAICS 722511 Full-service Restaurants 817

NAICS 722513 Limited-service restaurants 722

NAICS 722514 Cafeterias, buffets, and grill buffets

18

NAICS 722515 Snack and nonalcoholic beverage bars

232

NAICS 72241 Drinking places 52

Stand-Alone Retail Food Equipment

NAICS 333415 Air-conditioning and warm air heating equipment and commercial and industrial refrigeration equipment manufacturing

4

Vending Machines

NAICS 333311 Automatic vending machine manufacturing

0

Centrifugal and positive displacement chiller manufacturers

NAICS code 333415, air‐conditioning and warm air heating equipment and commercial and industrial refrigeration equipment manufacturing

4 - already counted under “Stand-Alone Retail Food Equipment”

Household Refrigerators and Freezers

NAICS 335222 Household refrigerator and home freezer manufacturing

0

22

B. Low-GWP Alternative Costs

Most HFCs are used as refrigerants in refrigeration and air conditioning equipment, but also as

blowing agents, aerosol propellants and solvents. The lower-GWP alternatives to commonly

used HFCs include natural refrigerants, HFCs with lower GWP (such as R32),

hydrofluoroolefins (HFOs), and HFC-HFO blends. Each substance varies in terms of

flammability and toxicity potential, and although many industries already have adopted preferred

low-GWP alternatives for specific end-uses, for most end-use categories, there is ongoing

research and development for optimal climate-friendly, energy-efficient, safe and proven

alternatives.

Table 3, presented in section IV(A) of this Technical Support Document details nationwide

estimated savings expected for the transition to lower-GWP substances in some end-uses38. For

example, EPA’s Screening Analysis39 estimated that if 50% of the nation’s large supermarkets

choose to replace an old R404A or R507A system with a new transcritical CO2 system, those

supermarkets were estimated to incur an additional total annualized upfront cost of ~$979,000

and total annual cost savings of ~$72,000 (in 2013 dollars).

Unfortunately, there are no simple formula to quantify the potential savings associated with the

transition to a lower-GWP system/equipment, simply because these savings are dependent on a

very large number of factors, including equipment design, energy efficiency and equipment

characteristics, not just on the refrigerant or foam blowing agent used.

From a European Parliament commission study40, we know that for natural refrigerants (e.g.

CO2, water), the upfront cost of equipment is often higher when natural refrigerants are not yet

the standard technology. However, the overall lifecycle cost is lower than conventional

technology that relies on HFCs, thanks to improved energy performance, lower maintenance

costs and other factors. In sectors where natural refrigerants are a standard technology (domestic

refrigeration and some industrial refrigeration in Europe), the upfront cost of equipment is

comparable to systems using HFCs and can be even more cost competitive than HFCs when

looking at a lifecycle point of view.

With growing production (demand) the capital cost of equipment is expected to decrease due to

economies of scale, and as more suppliers enter the market and the availability of components

increases, making the new technology competitive with the conventional HFC systems. For these

reasons, along with the urgency of climate action, HFC regulations are an essential component of

driving the industry towards adopting long-term solutions.

38 ICF International. July 2015. Revised Cost Analysis for Regulatory Changes to the Listing Status of High-GWP Alternatives.

Accessible via https://www.regulations.gov/document?D=EPA-HQ-OAR-2014-0198-0242 39 ICF International. July 2015. Revised Cost Analysis for Regulatory Changes to the Listing Status of High-GWP Alternatives.

Accessible via: https://www.regulations.gov/document?D=EPA-HQ-OAR-2014-0198-0242

40 Shecco. October 2016. F-Gas Regulation shaking up the HVAC&R industry. Report commissioned in the European

Parliament. Accessible via: https://issuu.com/shecco/docs/f-gas_impact_shecco_october2016

23

As a way to alleviate the financial burden to the industry and the end-users, the Division of

Climate, Coastal & Energy has designed an incentive program41 to help accelerate the transition

away from high-GWP refrigerants. The latter approach is a less intrusive method to reduce the

use of HFCs in Delaware, since it implies a voluntary program that will incentivize Delaware

residents and businesses to use or switch to low-GWP refrigerants. The Department believes that

combining the regulatory approach to the incentive program, and deploying them in close

timeline, offers the best way to accelerate the transition and achieve the most efficient transition

schedule.

C. Small Business Impact Statement

According to EPA’s Screening Analysis for the SNAP rules 2042 and 2143 implementation in the

nation, the estimated highest aggregated Total Annualized Economic Impact on Small

Businesses (for all industries affected by the SNAP rules) is $18,700,000 when a 3% discount

rate is applied. National impact values across each of the sectors, by NAICS code, can be seen

in Table 6 below.

According to the EPA, the implementation of the SNAP rules 20 and 21 can be presumed to have

no Significant Economic Impact on a Substantial Number of Small Entities (SISNOSE), because

of the following reasons:

o About 500,000 small businesses could be subject to the rulemaking nationally, and more

than 99% of these small businesses would be expected to experience zero compliance

costs.

o For about 120 small businesses that are expected to incur compliance costs as a

result of SNAP, their costs are estimated to be less than 1% of annual sales.

o This analysis indicates that fewer than 80 of the nearly 500,000 affected small

businesses—or <0.1%—could incur costs in excess of 1% of annual sales, and

that fewer than 60 small businesses could incur costs in excess of 3% of annual

sales.

o For the refrigeration, and air conditioning, foams, and fire suppression sectors

particularly:

o Roughly 89 small businesses could be subject to the rulemaking, although roughly

76% of small businesses subject to this rulemaking would be expected to incur

compliance costs that are estimated to be less than 1% of annual sales.

o This analysis indicates that up to 21 of the 89 affected small businesses—or

roughly 24%—could incur costs in excess of 1% of annual sales, and that up to 12

small businesses could incur costs in excess of 3% of annual sales.

41 Department of Natural Resources and Environmental Control. March 2020. Cool Switch Low Impact Refrigerant Program.

Accessible via: https://dnrec.alpha.delaware.gov/climate-coastal-energy/efficiency/cool-switch/ 42 ICF International for U.S. Environmental Protection Agency. July 2015. Economic Impact Screening Analysis for Regulatory

Changes to the Listing Status of High-GWP Alternatives – Revised. Accessible via

https://www.regulations.gov/document?D=EPA-HQ-OAR-2014-0198-0240 43 ICF International for U.S. Environmental Protection Agency. September 2016. Economic Impact Screening Analysis for

Regulatory Changes to the Listing Status of High-GWP Alternatives used in Refrigeration and Air Conditioning, Foams, and Fire

Suppression.

24

Table 6. U.S. EPA’ Estimate off SNAP 20 and 21 Rules’ National Impact to Small Businesses, using a 3% Discount Rate44, 45

Sector NAICS Industry Estimated Number of

Small Businesses Affected by the Rule

Total Annualized Economic Impact on Small Businesses

Lower Higher

MVACs 336111 Automobile Manufacturing 0 $0 $0

336112 Light truck and utility vehicle manufacturing 0 $0 $0

Aerosols

325620 Perfumes, Makeups and Other Toiletries - $0 $0

325612 Polishes and Other Sanitation Goods - $0 $0

325520 Adhesive manufacturing - $0 $0

324191 Petroleum lubricating oil and grease

manufacturing - $0 $0

325510 Paint and Coating Manufacturing - $0 $0

325998 All Other Miscellaneous Chemical Product and

Preparation Manufacturing 5 ($390,000) ($20,000)

325412 Pharmaceutical Preparation Manufacturing - $0 $0

325199 All Other Basic Organic Chemical Manufacturing - $0 $0

339113 Surgical Appliance & Supplies Manufacturing - $0 $0

Foams

326140 Polystyrene foam product manufacturing - $0 $0

335222 Household refrigerator and home freezer

manufacturing 5 $240,000 $490,000

333415 Air-conditioning and warm air heating equipment

and commercial and industrial refrigeration equipment manufacturing

47 ($800,000) ($370,000)

326150 Urethane and other foam product (except

polystyrene) manufacturing 61 $2,870,000 $3,460,000

Retail Food 44511

Supermarkets and Other Grocery (Except Convenience) Stores

31,665 $0 $0

44512 Convenience Stores 16,072 $0 $0

44 ICF International for U.S. Environmental Protection Agency. July 2015. Economic Impact Screening Analysis for Regulatory Changes to the Listing Status of High-GWP

Alternatives – Revised. Accessible via: https://www.regulations.gov/document?D=EPA-HQ-OAR-2014-0198-0240 45 ICF International for U.S. Environmental Protection Agency. September 2016. Economic Impact Screening Analysis for Regulatory Changes to the Listing Status of High-GWP

Alternatives used in Refrigeration and Air Conditioning, Foams, and Fire Suppression.

25

Sector NAICS Industry Estimated Number of

Small Businesses Affected by the Rule

Total Annualized Economic Impact on Small Businesses

Lower Higher

44521 Specialty Food Stores – Meat Markets 4,305 $0 $0

44522 Specialty Food Stores – Fish & Seafood Markets 1,470 $0 $0

44523 Specialty Food Stores – Fruit & Vegetable Markets 1,884 $0 $0

445291 Specialty Food Stores – Baked Goods Stores 2,109 $0 $0

445292 Specialty Food Stores – Confectionary & Nut

Stores 1,520 $0 $0

445299 All Other Specialty Food Stores 3,004 $0 $0

4453 Beer, Wine, & Liquor Stores 21,562 $0 $0

453110 Florist 15,201 $0 $0

44711 Gasoline Stations with Convenience Stores 41,538 $0 $0

44719 Other Gasoline Stations 11,553 $0 $0

446110 Pharmacies and Drug Stores 16,216 $0 $0

452910 Warehouse Clubs and Superstores - $0 $0

452990 All Other General Merchandise Stores 6,536 $0 $0

72111 Hotels (Except Casino Hotels) & Motels 29,170 $0 $0

72112 Casino Hotels 19 $0 $0

72211 Full-Service Restaurants 134,992 $0 $0

722211 Limited-Service restaurants 98,304 $0 $0

722212 Cafeterias, Buffets, & Grill Buffets 3,900 $0 $0

722213 Snack & Nonalcoholic Beverage Bars 23,226 $0 $0

72241 Drinking Places 35,185 $0 $0

333415 Air-Conditioning and Warm Air Heating

Equipment and Commercial and Industrial Refrigeration Equipment Manufacturing

30 $300,000 $1,010,000

333311 Automatic Vending Machine Manufacturing 7 $50,000 $120,000

Chillers 333415 Air‐conditioning and warm air heating

equipment and commercial and industrial refrigeration equipment manufacturing

1a $2,880,000 $3,260,000

26

Sector NAICS Industry Estimated Number of

Small Businesses Affected by the Rule

Total Annualized Economic Impact on Small Businesses

Lower Higher

333415 Air‐conditioning and warm air heating

equipment and commercial and industrial refrigeration equipment manufacturing

$3,030,000 $3,790,000

Retail Food 333415 Air‐conditioning and warm air heating

equipment and commercial and industrial refrigeration equipment manufacturing

19 $70,000 $90,000

Household Refrigeration

335222 Household refrigerator and home freezer

manufacturing 20 $4,590,000 $5,500,000

Cold Storage 333415 Air-Conditioning and warm air heating equipment

and commercial and industrial refrigeration equipment manufacturing

4 $70,000 $140,000

Foam 326150 Urethane and other foam product (except

polystyrene) manufacturing

36b $600,000 $600,000

8c $300,000 $400,000

1d $2,000 $4,000

0e $0 $0

Fire Suppression

3399991

Fire extinguishing equipment, handportable and fixed‐system (excluding

water sprinkler systems), including parts and attachments, manufacturing

0 $0 $0

TOTAL $13,812,000 $18,474,000 a The same small business is affected by both regulatory decisions (per EPA) b Rigid polyurethane: high-pressure two-component spray foam c Rigid polyurethane: low-pressure two-component spray foam d Rigid polyurethane: one-component foam sealants e Flexible polyurethane

27

Scaled to the state of Delaware, on a population basis (0.30% of U.S.A. population), this

corresponds to a negligible probability (<0.0003%) of having one small businesses in Delaware

incurring costs in excess of 1% or 3%.

Additionally, the proposed regulation is not expected to add substantive burden on Delaware’s

individuals and small businesses for the following reasons:

1) The proposed regulation does not warrant end-users to cease the use product or

equipment acquired before the prohibition date. Thus, individuals and small businesses

are likely to follow their existing replacement/repair & maintenance schedules for their

products and equipment covered under the proposed new regulation.

2) Only when a system needs to be retrofitted or replaced will businesses need to purchase

compliant product/equipment – and alternatives are readily available for end-uses

covered under this proposed new regulation.

3) The proposed new regulation includes a sell through provision, allowing manufacturers to

sell all products and equipment manufactured prior the effective date of the prohibition

for that specific end-use.

4) The impacts of the regulation will be borne primarily by foam manufacturers and

refrigeration equipment manufacturers who have developed or will develop compliant

materials and equipment. Contractors, installers of equipment, and service technicians

would be impacted by the requirement to sell, offer for sale, lease, rent, install, or use

only compliant equipment.

5) The proposed regulation does not include recordkeeping requirements.

6) Increased energy efficiency of the systems using low-GWP refrigerants are expected to

result in savings for many businesses over the lifecycle of their equipment, which

alleviates the higher capital costs associated with new compliant equipment covered

under this proposed new regulation.

D. Economic Benefits

Adopting HFCs regulations regionally or nationwide is expected to lead to many benefits for the

industry and U.S. residents, beyond Delaware.

Manufacturers of products and equipment covered by this proposed regulation would prefer the

development of a unified (nationwide) rule, since they would have to comply with only one

national standard. However, apart from this consideration, the industry has expressed support for

adopting the prohibitions for the end-uses covered under this proposed regulation, as they

recognize the urgency of climate action, but also the economic opportunity of being an early

supplier of the new technology (increased competitiveness), as more and more countries and

regions are looking at reducing emissions from HFCs.

For example, some companies, such as The Chemours Company, headquartered in Delaware,

that already manufactures acceptable alternatives to the prohibited substances covered

28

by this proposal, will benefit from their proactive research and development, and will have short

term benefits from the implementation of the regulation.

The end users of the new technology will also benefit from the proposed regulation, through cost

savings in the form of increased energy efficiency, and lower maintenance costs, of their new or

retrofitted equipment using lower-GWP refrigerants.

Additionally, HFCs regulations are anticipated to have an impact on the training requirements of

technicians and contractors offering equipment in the end-uses covered by this proposed new

regulation. This implies both costs and opportunities for the industry, and stakeholders have

informed the Department that the industry is already preparing for the new demand in training

and continuous improvement. These new opportunities are associated with increased

employment in more sustainable technologies. In the long haul, the U.S. Climate Alliance has

estimated that phasing down the use of HFCs has the potential to create tens of thousands of

jobs, and tens of billions of annual economic value nationwide46.

46 United States Climate Alliance. September 2018. From SLCP Challenge to Action: A roadmap for reducing short-

lived climate pollutants to meet the goals of the Paris Agreement. Accessible via:

https://static1.squarespace.com/static/5a4cfbfe18b27d4da21c9361/t/5b9a9cc1758d466394325454/1536859334343/

USCA+SLCP+Roadmap_final+Sept2018.pdf

29

V. HEALTH, ENVIRONMENTAL, AND PUBLIC WELFARE BENEFITS

A. Projected Emissions Reductions

To quantify potential HFC emissions reduction achievable by the proposed new regulation, the

Department used an HFC emissions inventory tool developed by the California Air Resources

Board (CARB) and the USCA. The tool, called the Short-Lived Climate Pollutants (SLCP)

Emissions Tool, uses state population and other economic data to apportion HFC emissions to

specific end-uses. The following data sources and methodologies are referenced within the tool:

• Population Projections, United States, 2004 - 2030, by state, age and sex, on CDC

WONDER Online Database, September 2005. Accessed at http://wonder.cdc.gov/

population-projections.html on May 30, 2018

• Annual Estimates of Housing Units for the United States, Regions, Divisions, States, and

Counties: April 1, 2010 to July 1, 2017 on US Census Bureau American FactFinder

Online Database, May 2018. Accessed at https://www.census.gov/data/tables/

2017/demo/popest/total-housing-units.html on May 30, 2018

• 2005 Residential Energy Consumption Survey (RECs) Survey Data on U.S. Energy

Information Administration (EIA) Webpage. Accessed at https://www.eia.gov/

consumption/residential/data/2005/ on September 9, 2018

• 2009 Residential Energy Consumption Survey (RECs) Survey Data on U.S. Energy

Information Administration (EIA) Webpage, 19 August 2011. Accessed at

https://www.eia.gov/consumption/residential/data/2009/ on June 1, 2018

• 2015 Residential Energy Consumption Survey (RECs) Survey Data on U.S. Energy

Information Administration (EIA) Webpage. Accessed at https://www.eia.gov/

consumption/residential/data/2015/#ac on September 9, 2018

• United States Environmental Protection Agency (US EPA). MOVES 2014a: Latest

Version of MOtor Vehicle Emissions Simulator (MOVES). https://www.epa.gov/moves/

moves2014a-latest-version-motor-vehicle-emission-simulator-moves (accessed 10

August 2018) (US EPA, 2015)

• California’s High Global Warming Potential Gases Emission Inventory: Emission

Inventory Methodology and Technical Support Document, California Air Resources

Board (2016), https://ww3.arb.ca.gov/cc/inventory/slcp/doc/

hfc_inventory_tsd_20160411.pdf

The SLCP Emissions Tool quantifies HFC emissions under a business as usual (BAU) case, as

well as various policy scenarios including the incorporation of EPA SNAP Rules 20 and 21.

Using the tool, HFC emissions can be estimated from 2005 through 2030. The tool categorizes

HFCs in the end-uses shown in Table 7.

Using the tool, it is estimated that in the course of 10 years, the total cumulative reduction in

HFC emissions is roughly 0.832 MMTCO2e, or roughly the equivalent of the annual greenhouse

gas emissions of 176,000 passenger cars in Delaware.

30

Table 7. HFC use categories as provided in the USCA/CARB SLCP Emissions Tool

Commercial Refrigeration

Industrial Refrigeration

Domestic Refrigeration

Commercial Stationary A/C > 50 lbs. refrigerant

Commercial Stationary A/C < 50 lbs. refrigerant

Stationary A/C Residential Heat Pumps

Stationary Central A/C Residential

Stationary Room Unit AC/ Residential

Light-duty MVAC

Heavy-duty MVAC

Transport Refrigeration

Foam

Aerosol Propellants

Solvents and Fire Suppressant

Per the proposed regulation, not all end-uses categorized in the SLCP Emissions Tool are

applicable. To reflect the affected end-uses as listed in the proposed regulation, the Department

focused only on the appropriate categories. Table 8 shows the identified categories as applicable

to the purpose of the proposed regulation.

Table 8. End-use categories of HFCs that are anticipated to show emission reductions per the proposed

regulation

Commercial Refrigeration

Industrial Refrigeration

Domestic Refrigeration

Commercial Stationary A/C > 50 lbs. refrigerant

Commercial Stationary A/C < 50 lbs. refrigerant

Foam

Aerosol Propellants

It should be noted that the proposed regulation does not include the following end-uses

categorized by the SLCP Emissions Tool: Stationary A/C Residential Heat Pumps, Stationary

Central A/C Residential, Stationary Room Unit A/C Residential, Light-duty MVAC, Heavy-duty

MVAC, Transport Refrigeration, Solvents and Fire Suppressant. As such, there are no emissions

reductions in these end-uses that would be associated directly with the prohibitions in the

proposed regulation.

The emissions and associated potential reductions anticipated by the proposed regulation are

provided in Table 99 for years 2020-2030 for Delaware. It can be seen that, compared to a BAU

case, HFC emissions are anticipated to have been reduced by 25% in 2030 with implantation of

the proposed regulation. Once reductions begin in the year 2021, the average annual reduction

rate is 20%. It should be noted that there are no emissions reductions for the industrial

refrigeration end-use until 2023 and for commercial stationary A/C (> 50 lbs refrigerant) until

2024, as is consistent with the proposed new regulation.

31

Table 9. HFC emission estimates in a BAU case and the case with implementation of the proposed regulation

(emissions in MmtCO2e) in Delaware

Year BAU* SNAP** Savings Savings (%)

2020 0.347 0.347 0 0%

2021 0.362 0.314 0.048 13%

2022 0.376 0.320 0.056 15%

2023 0.391 0.327 0.064 16%

2024 0.403 0.331 0.072 18%

2025 0.415 0.335 0.080 19%

2026 0.426 0.338 0.088 21%

2027 0.435 0.340 0.095 22%

2028 0.444 0.342 0.103 23%

2029 0.452 0.342 0.110 24%

2030 0.460 0.343 0.117 25%

TOTAL 4.511 3.679 0.832 -

* The BAU case emissions shown are only those from the end-use categories displayed in Table 8 ** The SNAP column is representative for the emission reductions from the proposed regulation (effectively, SNAP 20 and 21 implementation) for the end-use categories specified in Table 8

The emissions reductions by end-use category can be seen in Figure 3. The “Regulation BAU”

line refers to the BAU emissions in the affected end-use categories only (as listed in Table 8).

The greatest potential HFC emissions reductions are projected to be achieved in the commercial

refrigeration end-use followed by aerosol propellants on a mass basis. On a percentage basis,

potential HFC emissions reductions are greatest for the aerosol propellant and foam end-uses.

From 2021 through 2030, the aerosol propellant end-use is projected to have a cumulative

reduction of 62%, while the foam end-use category is projected a cumulative emission reduction

of 54%. It should also be noted that relative to BAU emissions, no reduction is projected for the

commercial stationary A/C (< 50 lbs refrigerant) end-use category. This likely because the

proposed regulation lists centrifugal and positive displacement chillers as the prohibited end-uses

in commercial A/C. Centrifugal chillers are typically used for larger commercial systems, such

as those in office buildings, hotels, convention halls, and others47. Positive displacement chillers

are typically used for relatively smaller commercial systems, such as those in mid- and low-rise

buildings48.

47 U.S. EPA. December 2016. Proposed Final rule for SNAP 21. Accessible via: https://www.govinfo.gov/content/pkg/FR-2016-

12-01/pdf/2016-25167.pdf 48 While relatively smaller than centrifugal chillers, commercial applications of positive displacement chillers are most likely

above 50 lbs of refrigerant.

32

Figure 3. Potential HFC emissions reductions by end-use category in Delaware from the proposed regulation

B. Quantifying Benefits

The science of quantifying environmental and social impacts of a given emissions reduction is

still in its infancy, given the complexity of economic, social and environmental systems and their

underlying assumptions. For this technical support document, the Department has chosen to use

the Theory of the Social Cost of Carbon (SCC) 49 to help quantify the impacts of the proposed

regulation. SCC is a concept used in policy evaluation to offer a monetized value of the net

impact from the global climate change that results from a small (1 metric ton) increase in carbon

dioxide emissions. These monetized impacts include, but are not limited to, changes in net

agricultural productivity, energy use, property damage from increased flood risk, human health

and services that the natural ecosystems provide to society.

SCC’s estimates require several steps using specialized computer models to be relevant, since it

factors several detailed economic, social, and environmental assumptions. Following Resources

for the Future latest published article on the topic, the Department chose to use the Global SCC

49 The National Academies Press. 2017. Valuing Climate Damages: Updating Estimation of the Social Cost of

Carbon Dioxide. Accessible via: https://www.nap.edu/catalog/24651/valuing-climate-damages-updating-estimation-

of-the-social-cost-of

0

100,000

200,000

300,000

400,000

500,000

19

90

19

92

19

94

19

96

19

98

20

00

20

02

20

04

20

06

20

08

20

10

20

12

20

14

20

16

20

18

20

20

20

22

20

24

20

26

20

28

20

30

HFC

Em

issi

on

s (m

ton

CO

2e)

DE HFC Emissions Estimates and Projections

Aerosol Propellants Foam

Commercial Stationary A/C (<50lbs ref) Commercial Stationary A/C (>50lbs ref)

Domestic Refrigeration Industrial Refrigeration

Commercial Refrigeration Regulation BAU

33

estimate of 50 USD per metric ton of CO2 equivalent50 (in 2019 dollars, using a discount rate of

3%) to support this technical support documentation.

Using the previously estimated 0.832 MmtCO2e reduction for Delaware from 2020 to 2030, the

SCC theory estimates that this proposed new regulation could help achieve global benefits

equivalent to $41.4 million within this ten-year timeframe.

If the regulation was similarly adopted nationwide (including Washington, D.C.), a cumulative

reduction of 295.3 MmtCO2e is estimated from 2020 to 2030. Using the Social Cost of Carbon,

these emissions reduction would result in approximately $14.8 billion in global benefits, from

2020 to 2030.

VI. STAKEHOLDER PARTICIPATION

Two review committee meetings were held (September 24, 2019, and October 8, 2019) to

closely interact with key stakeholders in the early development stages of the proposed regulation.

Discussions with key stakeholders helped shape the proposed regulation to ensure the viewpoints

of a diverse group of representatives from industry, trade groups, environmental groups, and

Delaware-specific organizations were understood. The initial meeting on September 24th

included a presentation and other materials to inform participants of the development of the

proposed regulation. After the presentation, the review committee consisted of open discussion

and suggestions to the draft language. Comments were received and informed technical and

non-technical edits to the draft language of the proposed regulation. Participants in the first

review committee meeting largely supported the effort of the proposed regulation.

A second review committee meeting took place on October 8, 2019 and included a draft

regulatory language presentation informed by the comments received from stakeholders at the

first review committee meeting and those received by staff after the meeting. Attendees of this

review committee meeting included representatives from industry, trade and environmental

groups, and Delaware-specific organizations, similar to the first review committee meeting.

Stakeholders were walked through the revised draft language, and offered comments and

feedback to assist in crafting the final proposed new regulation language. This review committee

meeting also included a brief presentation from staff from the Division of Climate, Coastal, and

Energy to introduce their voluntary incentive program to switch to low-GWP refrigerants, the

Cool Switch Low Impact Refrigerant Program51.

In between, and after the review committee meetings, the Department continuously engaged with

key stakeholders to develop the proposed new regulation, through documented written

exchanges, phone call conversations, and face-to-face meetings with the goal of tailoring the

final language to best address the key social, environmental and economic concerns raised by the

stakeholders.

50 Resources for the Future. August 2019. Social Cost of Carbon 101. A review of the social cost of carbon, from a basic

definition to the history of its use in policy analysis. Accessible via: https://www.rff.org/publications/explainers/social-cost-

carbon-101/ 51 Department of Natural Resources and Environmental Control. March 2020. Cool Switch Low Impact Refrigerant Program.

Accessible via: https://dnrec.alpha.delaware.gov/climate-coastal-energy/efficiency/cool-switch/

34

VII. PUBLIC PARTICIPATION

The Department held three public workshops to provide the public with outreach and education

opportunities on the proposed new regulation 7 DE Admin Code 1151. The meetings were held

in each of the New Castle, Sussex, and Kent Counties on December 9, 10, and 18, 2019,

respectively, with the latest meeting offering a remote participation option via the Skype

application or web access.

The public workshops consisted in a short presentation about the background leading to the

regulatory initiative, followed by a presentation of the draft regulatory language (as informed by

the review committee meetings), and concluded with an open question and answer format. The

presentation slides, along with the supporting documents, and comments received following the

workshops are posted on the Department’s regulatory development website:

https://dnrec.alpha.delaware.gov/air/permitting/under-development/.

Overall, the Department has received support for the regulatory initiative throughout the

rulemaking process. Many of the comments offered by stakeholders consisted in additional

technical or logistical consideration to edit the regulatory language to reduce the burden on the

industry or to aim for consistency with other states working to develop HFCs regulations. Please

find, in Table 10 below, the summary of the public comments received from October 31, 2019 to

January 17, 2020 which was the deadline indicated to receive public comments for consideration

for the proposed new regulation.

Table 10: Summary of public comments received from October 31, 2019 and January 17, 2020, and the actions taken

following these comments.

35

Interested

Party

Date Section in

Draft

Regulatory

Language

Summary of Comment Changes made

Section 1.0

AHRI and

Daikin US

1/17/2020 1.0

Suggestion to remove “and manufacture” from section

1.0, as this may ban warehousing and the transport of

non-Delaware products through the state, and products

from being imported or transported through the state of

Delaware or prevent research in the state where

companies make small amounts of refrigerants. It can

also prevent research in Universities or in companies

located in the state that manufacture small amounts of

refrigerant.

Following these comments, the Department has removed the

definition of “manufacturer” from Section 3.0, as the

definition previously included might have caused the

confusion on the importation and transportation of products

and equipment in the State. The intent of the regulation is to

prohibit the manufacturing of the covered foams and aerosol

propellants products, and refrigeration and air-conditioning

equipment using an end-use-specific substance covered under

this regulation, after their respective prohibition dates.

Section 2.0

Honeywell 12/7/2019 2.1 Recommendation to edit the language to not only

prohibit the sale or installation of a listed substance, but

also the sale or installation of a product or equipment

using a listed substance, within the state after the

relevant end-use transition date.

Suggested edits:

2.1. This regulation applies to any person who sells,

offers for sale, installs, uses, or manufactures in the

State of Delaware, any substance used in end-uses listed

in Section 6.0 or any product or equipment using any

such substance.

The Department staff made no changes based on the

received comments.

Honeywell has provided additional comments on January 17,

2020 on this topic.

Honeywell 1/17/2020 2.1 Request to prohibit not the sale or installation of a listed

substance, but the sale or installation of a product or

equipment using a listed substance, within the state after

the relevant end-use transition date. For consistency

with CA, VT, WA, NJ (intent). If the DE regulation

fails to incorporate such language, it will potentially be

The Department has edited the regulatory language to clarify

the intent of this regulation, which is to regulate any person

who sells, offers for sale, leases, rents, installs, uses, or

manufactures in the State of Delaware, any product or

equipment that uses a substance in any of the end-uses

covered under the proposed new regulation.

Table 10: Summary of public comments received from October 31, 2019 and January 17, 2020, and the actions taken

following these comments.

36

applying its prohibition on HFCs to a smaller subset of

activities and excluding instances in which products or

equipment are delivered to, or installed in, the state

containing prohibited substances.

NRDC 1/17/2020 2.1 Recommendation to modify the scope of prohibitions to

the products and equipment containing prohibited

substances, not to the substances themselves

The Department has edited the regulatory language to clarify

the intent of this regulation, which is to regulate any person

who sells, offers for sale, leases, rents, installs, uses, or

manufactures in the State of Delaware, any product or

equipment that uses a substance in any of the end-uses

covered under the proposed new regulation.

Chemours 1/17/2020 2.0 As written, language in draft regulation 1151 may be

interpreted to prohibit the sale or installation of a listed

substance rather than sale or installation of a product or

equipment using a listed substance within the state,

according to Section 6 of the proposed regulation. Such

an interpretation could prevent research and

development activities within the State of Delaware. It

is imperative that the regulation be clear that research

and development activities are exempt from any

prohibitions established by this regulation.

The Department has edited the regulatory language to clarify

the intent of this regulation, which is to regulate any person

who sells, offers for sale, leases, rents, installs, uses, or

manufactures in the State of Delaware, any product or

equipment that uses a substance in any of the end-uses

covered under the proposed new regulation.

The Department believes that this language does not prevent

research and development activities.

PIMA 1/17/2020 2.0 Recommendation for the Dept. to scope its regulations narrowly to exclude polyisocyanurate insulation products, which as a category do not use the prohibitive HFC substances, from the draft regulation’s disclosure statement requirements.

The Department has acknowledged this comment and has

clarified the intent of the Disclosure Statement requirement,

in Section 2.2, where any person who manufactures product

or equipment covered in the specific end-uses covered under

this regulation is subject to disclosure statement requirements.

The Department wants to clarify that the end goal of including

Disclosure requirements is to inform potential buyers as to

whether the product/equipment they purchased is in

compliance with State Regulations. Additionally, the

Department believes the proposed disclosure requirements

offer flexibility for manufacturers to comply, without

substantive financial or operational burden.

Section 3.0

AHRI and

Daikin US

1/17/2020 3.0 Recommendation to modify the definition of the term

“use”, since banning the formulation or packaging of

controlled substances inequitably impacts small and

medium distributors, packagers, and companies who

The Department staff made no changes based on the

received comments.

The Department has edited the regulatory language to clarify

the intent of this regulation, which is to regulate any person

Table 10: Summary of public comments received from October 31, 2019 and January 17, 2020, and the actions taken

following these comments.

37

may not have sufficient capital to move distribution in

another state.

AHRI is concerned that the definition of “Use” in the

draft regulation may prohibit the proper collection of

refrigerant during maintenance and at the end of life for

the equipment

Additional recommendation to modify the definition of

“new” based on stakeholders’ feedback

who sells, offers for sale, leases, rents, installs, uses, or

manufactures in the State of Delaware, any product or

equipment that uses a substance in any of the end-uses

covered under the proposed new regulation. Thus, the

Department does not believe that the current definition of

“use” overburdens the small and medium distributors,

packagers, and companies in Delaware, or prohibit the proper

collection of refrigerant during maintenance and at the end of

life of the equipment.

The Department believes that the current definition of “new”

captures the technical considerations for the implementation

of this regulation. This definition is consistent with U.S. EPA,

which reclassifies systems as new if a modification is made,

which increases the capacity of the system. This formulation

is also preferred to prevent existing refrigeration systems from

undergoing extensive repairs to the extent that they become a

new piece of equipment with a few older parts remaining,

which could be a strategy to avoid the regulations covering

new equipment. This definition does not prevent end-users or

customers to repair, update and improve their systems.

ACC CPI 1/17/2020 3.0 Offered technical considerations to promote clarity to

the regulated entities

CPI suggests developing a definition for “polyurethane,” and then referencing the term polyurethane in the definition of the end uses. This builds a consistent approach to the end use definitions. CPI has suggested a definition for “polyurethane”, and edits to 9 polyurethane end-uses’ definitions.

The Department staff made no changes based on the

received comments.

The Department has acknowledged the comments received,

however it does not believe that making these amendments is

warranted at this time. The current definitions of the different

foam end-uses have been reviewed by a review committee

during the first phase of the stakeholders engagement, and

they are consistent with U.S. EPA SNAP rules. The proposed

edits by the stakeholder may be considered as part of a future

amendment to the proposed regulatory language, following an

additional technical review from other industry stakeholders.

Honeywell 1/17/2020 3.0 Support CPI’s suggested edits to definitions regarding

foam end-uses

The Department staff made no changes based on the

received comments.

The Department has acknowledged the comments received,

however it does not believe that making these amendments is

warranted at this time. The current definitions of the different

Table 10: Summary of public comments received from October 31, 2019 and January 17, 2020, and the actions taken

following these comments.

38

foam end-uses have been reviewed by a review committee

during the first phase of the stakeholders engagement process,

and they are consistent with U.S. EPA SNAP rules. The

proposed edits by the stakeholder may be considered as part

of a future amendment to the proposed regulatory language,

following an additional technical review from other industry

stakeholders.

HCPA 1/17/2020 3.0 Recommendation to modify the definition of “aerosol

propellant”, for consistency with Delaware’s “limiting

emissions of volatile organic compounds from

consumer and commercial products” regulation

The Department staff made no changes based on the

received comments.

The Department will keep the current definition of “Aerosol

Propellant”, since it believes that it captures all the technical

considerations for the current regulation.

InterMetro

Industries

Corporation

12/19/2019 3.0 Request to have a definition of “stationary” added to the

regulation, to identify whether or not mobile

refrigerators intended for use with central kitchens

inside heavy-duty vehicles serving remote locations are

covered under this regulation.

The Department staff made no changes based on the

received comments.

The description of the refrigeration equipment detailed by the

stakeholder clearly falls under commercial refrigeration end-

uses, even if it is designed with rollers and is used inside of a

heavy-duty vehicle. The Department does not believe that a

definition of the term “stationary” is warranted at this time.

Illinois Tool

Works Inc.

12/18/2019 3.0 Offer their interpretation of the issue raised during the

12/18/2019 public workshop, where InterMetro asked

for clarification on the definition of “stationary” in

Refrigeration Equipment. According to ITW, being

designed to roll into a vehicle, where that vehicle will

transport food to another physical location, does not

qualify as mobile refrigeration in the industry. Thus, this

commercial refrigeration equipment is covered under

EPA SNAP rules and should be covered under DE’s

proposed regulation.

The Department staff made no changes based on the

received comments.

The Department agrees that refrigeration equipment designed

to roll into a vehicle, to be utilized to deliver food in remote

location, is a commercial refrigeration equipment, and is

consequently covered under this regulation.

Cold

Technology

12/20/2019

And

12/09/2019

3.0 Suggested edits to the definition of “new” using

“nominal compressor capacity”. The reasoning for the

use of the term “nominal compressor capacity” is that

various efficiency upgrades to a system could actually

result in an increase to system heat removal capacity.

Obviously, we would not want to dissuade owner’s from

performing upgrades on their systems to more energy

The Department staff made no changes based on the

received comments.

The Department believes that the current definition of “new”

captures the technical considerations for the implementation

of this regulation. This definition is consistent with U.S. EPA,

which reclassifies systems as new if a modification is made,

which increases the capacity of the system. This formulation

Table 10: Summary of public comments received from October 31, 2019 and January 17, 2020, and the actions taken

following these comments.

39

efficient equipment by forcing them to perform a retrofit

on top of the component upgrade.

is also preferred to prevent existing refrigeration systems from

undergoing extensive repairs to the extent that they become a

new piece of equipment with a few older parts remaining,

which could be a strategy to avoid the regulations covering

new equipment. This definition does not prevent end-users or

customers to repair, update and improve their systems.

Section 4.0

HCPA 11/8/2019

And

11/15/2019

4.2.1.4 Suggestion to add the date coding which aerosol

manufacturers comply with for Delaware’s Limiting

Emissions of Volatile Organic Compounds from

Consumer and Commercial Products regulation, section

2.5.1 under Administrative Requirements, as a

compliance path for the date of manufacture disclosure

requirement.

Suggestion to allow for the Material Safety Data Sheet

to be an acceptable compliance path for the disclosure

statement requirements.

Following this comment, the Department is proposing

language to include date codes and Safety Data Sheet to be

acceptable compliance options to meet the Disclosure

Statement requirements for foam and aerosol propellant

products.

PIMA 12/9/2019 4.2 and

subsections

Commented that the Polyisocyanurate industry is

opposed to the proposed disclosure statement

requirements, since the industry does not manufacture

with HFCs.

Recommendation to edit the draft regulatory language to

regulate the current uses of HFCs only. Suggested

addition:

4.2.1.1 As of the effective date of this regulation, any

person who does not manufacture and/or sell products

or equipment containing any substance listed as

prohibited in Section 6.0 shall not be required to

provide a written disclosure to the buyer.

Suggestion, as an alternative to a full exemption, for any

future regulation to include an opportunity for polyiso

insulation manufacturers to submit a one-time

certification to DE that their respective products do not

contain the prohibited HFC substances.

Although the Department recognizes that some industries may

have shifted from manufacturing products and equipment

with HFCs, the Department believes that the intent of the

disclosure statement is to inform the buyer as to whether the

product/equipment purchased is in compliance with State

regulation.

To clarify the intent of the Department, we have added

language in Section 2.0 of the proposed regulation, stating

that manufacturers of products and equipment of the specific

end-uses covered in this regulation, are subject to disclosure

statement requirements.

By subjecting all manufacturers to disclosure statement

requirements, the Department ensures that any industry that

previously moved away from the use of HFCs, are required to

disclose it if they go back to using these substances.

Table 10: Summary of public comments received from October 31, 2019 and January 17, 2020, and the actions taken

following these comments.

40

The suggestion of a one-time certification process to identify

that a manufacturer does not use HFCs may be studied under

a future regulation/amendment.

PIMA 12/9/2019 4.2.1.3 If the Department does decide to proceed with

disclosure requirements, any labeling requirements

should allow a label to be placed on the product itself or

factory packaging. And another potential alternative

would be for product manufacturers to provide or make

available Safety Data Sheets to the buyers, disclosing

the blowing agent.

The Department believes that the regulation, as it is drafted,

allows for labels and disclosure statements to be placed on the

product itself or factory packaging.

Following this comment, the Department has included

language to allow Safety Data Sheets to be used as a

compliance path to disclose the blowing agent information to

the buyers, for foam manufacturers.

Cold

Technology

12/20/2019

And

12/09/2019

4.1.2 Suggested amendments to 4.1.2 to clarify the intent not

to affect the operators’ ability to maintain/preserve the

operability of existing systems.

The Department has recognized the value of specifying that

operations to maintain and preserve the operability of an

existing system are not prohibited by the proposed regulation.

Thus, the Department is proposing language to address this

consideration, in 4.1.3.: “This regulation does not prevent the

use of a prohibited substance in the servicing, maintenance

and repair operations of an existing product or equipment in

an end-use listed in Section 6.0, which contains or was

designed to contain a prohibited substance, except if the

operations constitute a retrofit or reclassifies the system as

new.”

Cold

Technology

12/20/2019

And

12/09/2019

4.2.1 Comment that in 4.2.1. the language should clarify that

the burden of disclosure is solely that of the

manufacturer, not the re-seller. The wording “any person

who manufactures and/or sells” can lead to believe than

any contractor/distributor that re-sells and installs the

equipment would have disclosure responsibility.

The Department agrees that disclosure requirements are

targeting manufacturers of the covered products and

equipment, thus the Department proposing language to clarify

this intent, by modifying the language to read “who

manufactures for sale in the State of Delaware”

HCPA 1/17/2020 4.2.1.4 Recommendations for modifying the Disclosure

requirements of aerosol products

Proposed language:

4.2.1.4:

For aerosol propellant products, the aerosol propellant

must be listed in a Safety Data

Sheet (SDS) that complies with the requirements of the

29 CFR 1910.1200. The person who manufactures and

sells or introduces into commerce in the State must also

ensure that each aerosol propellant product complies

The Department staff made no changes based on the

received comments.

The Department has acknowledged the comment, and

considers that the current approach offering two alternatives

for disclosure compliance offers flexibility and answers the

considerations raised.

The Department is allowing for Safety Data Sheet and Date

Code to be acceptable compliance paths to meet the disclosure

requirements.

Table 10: Summary of public comments received from October 31, 2019 and January 17, 2020, and the actions taken

following these comments.

41

with the product-dating requirements in 7 DE Admin.

Code 1141 § 2.5.1.

Honeywell 1/17/2020 4.0 Suggestion to clarify that the sale of prohibited

substitutes for servicing (i.e., for recharging existing

equipment that was installed prior to the effective date of

the prohibited use of that substitute) is allowable.

The Department has recognized the value of specifying that

operations to maintain and preserve the operability of an

existing system are not prohibited by the proposed regulation.

Thus, the Department is proposing language to address this

consideration, in 4.1.3.: “This regulation does not prevent the

use of a prohibited substance in the servicing, maintenance

and repair operations of an existing product or equipment in

an end-use listed in Section 6.0, which contains or was

designed to contain a prohibited substance, except if the

operations constitute a retrofit or reclassifies the system as

new.”

ACC CPI 1/17/2020 4.2.1.3.1 Commented that while CPI does not have significant opposition to proposed disclosure alternative 1 in section 4.2.1.3.1, CPI is concerned that it is not entirely clear that regulated entities can choose either option. Additionally, alterative 1 focuses on disclosure of specific chemistries, not compliance status. Disclosure of a specific chemistry likely does not provide the clarity needed for users and enforcement officials to know the product they would like to use is compliant – especially if an exemption is granted for certain foam end uses to continue to use HFC blowing agents. In this example, users and enforcement officials will likely assume the product is not compliant if it discloses use of an HFC. Alternative 2 covers all scenarios because it focuses on compliance status. Additionally, CPI urges DNREC to clarify that the disclosure can be on the product or on the product packaging. CPI anticipates that manufacturers of polyurethane systems will include the disclosure on the drum or on the box for low pressure SPF systems.

The Department has acknowledged the comment and is

proposing language to clarify that regulated entities can

choose one of the two alternatives presented in the Disclosure

Statement requirements.

Other foam end-uses stakeholders have requested for Safety

Data sheets to be considered as a compliance path for

disclosing the foam blowing agents, thus the Department still

believes that offering the two alternatives offers flexibility to

the manufacturers, along as the proper information for

consumers/buyers that want to access the information.

The Department believes that the current language does not

prevent the disclosure or label to be either on the product or

on the product packaging, thus including the disclosure on the

drum or on the box for low pressure SPF systems is allowed.

ACC CPI 1/17/2020 4.1.2 Commented that spray polyurethane foam systems manufactured or blended prior to the date of restriction can be used or applied in Delaware after the effective date of the restriction. Multiple types of polyurethane

The Department has understood and agrees with the technical

consideration provided by the stakeholder and has

incorporated the suggested edit to the proposed regulatory

language.

Table 10: Summary of public comments received from October 31, 2019 and January 17, 2020, and the actions taken

following these comments.

42

foams – not just spray foam – that are used as “systems.” For context, the polyurethane industry refers to the liquid components of the “A-side” and “B-side” together as a system. Recommendation: […] Products or equipment manufactured prior to the

applicable effective date of the restrictions specified in

Table 1 of subsection 6.1.1 of this regulation (including

spray polyurethane foam systems not yet applied) may be

sold […].

National

Refrigerants,

Inc.

1/17/2020 4.1.2 Commented that, as it is currently drafted, 4.1.2 appears

to prohibit the use of a substance for service of

equipment installed prior to the dates specified in section

6.0. Section 4.1.2 clearly includes equipment

manufactured prior to the applicable effective date of the

restrictions in Table 1 of subsection 6.1.1 of the

regulation but it does not include the word ‘substance’

which is defined as “any chemical intended for use in the

end-uses listed in Section 6.0.” Since substance, by

definition, is the refrigerant, its exclusion from the

exception in 4.1.2 could be interpreted as not allowing

any refrigerant listed in section 6.0 to be used to service

the installed equipment.

The Department has recognized the value of specifying that

operations to maintain and preserve the operability of an

existing system are not prohibited by the proposed regulation.

Thus, the Department is proposing language to address this

consideration, in 4.1.3.: “This regulation does not prevent the

use of a prohibited substance in the servicing, maintenance

and repair operations of an existing product or equipment in

an end-use listed in Section 6.0, which contains or was

designed to contain a prohibited substance, except if the

operations constitute a retrofit or reclassifies the system as

new.”

Chemours 1/17/2020 4.1.1 & 4.1.2 Suggested edits to section 4.0 that will clarify this

regulation does not prohibit the continued use of listed

substances for servicing of existing equipment.

In Section 4.0, Standards (Requirements)

The Department has recognized the value of specifying that

operations to maintain and preserve the operability of an

existing system are not prohibited by the proposed regulation.

Thus, the Department is proposing language to address this

consideration, in 4.1.3.: “This regulation does not prevent the

use of a prohibited substance in the servicing, maintenance

and repair operations of an existing product or equipment in

an end-use listed in Section 6.0, which contains or was

designed to contain a prohibited substance, except if the

operations constitute a retrofit or reclassifies the system as

new.”

Daikin US 1/17/2020 4.2 Recommendation that the state accepts UL label as

sufficient for disclosure requirements.

Department staff made no changes based on the received

comments.

Table 10: Summary of public comments received from October 31, 2019 and January 17, 2020, and the actions taken

following these comments.

43

The Department believes that the proposed regulation allows

for UL labels to be used as a disclosure compliances path, as

long as they contain the required information, as stated in

4.2.1.2 : “ Except for products and equipment with existing

labeling required by state building codes and safety standards

which contain the information required in subsections […]”.

AHRI and

Daikin US

1/17/2020 4.0 In Section 4.0, clarify that products intended for the

servicing, maintenance, or repair of existing equipment

may still be manufactured and used after the effective

date of the regulation, so long as they do not fall under

the definition of “new equipment”.

The Department has recognized the value of specifying that

operations to maintain and preserve the operability of an

existing system are not prohibited by the proposed regulation.

Thus, the Department is proposing language to address this

consideration, in 4.1.3.: “This regulation does not prevent the

use of a prohibited substance in the servicing, maintenance

and repair operations of an existing product or equipment in

an end-use listed in Section 6.0, which contains or was

designed to contain a prohibited substance, except if the

operations constitute a retrofit or reclassifies the system as

new.”

AHRI and

Daikin US

1/17/2020 4.2 Recommendation to allow internet disclosures as a

compliance path for disclosure requirements. Internet

disclosures ease the burden on manufacturers and to

allow for a more effective means of communicating

compliance with consumers and regulators.

Department staff made no changes based on the received

comments.

The Department believes that the proposed disclosure

requirements currently offer a flexible, low-cost and

convenient way for manufacturers to comply. Although the

Department acknowledges the advantages of having a

centralized online database for disclosures, this system would

need to be comprehensively detailed and developed before

being integrated into regulatory language.

This option can be studied as part of a future

amendment/regulation.

Section 5.0

HCPA 1/17/2020 5.0 Recommendation to modify record keeping requirement:

3 years instead of 5 years

Department staff made no changes based on the received

comments.

The Department has acknowledged the comment; however no

edits were made to the proposed regulatory language since the

proposed language at the public workshops did not include

recordkeeping requirements. The recordkeeping requirements

were removed from the proposed new regulation following

Table 10: Summary of public comments received from October 31, 2019 and January 17, 2020, and the actions taken

following these comments.

44

the first phase of the stakeholder engagement process, the

review committee meetings.

Section 6.0

Honeywell,

Chemours

11/18/2019 6.1.2 Commented that they were not in support of the

suggested language recognizing potential future EPA

approvals of foam-blowing agents if the language allows

for any EPA approvals to be automatically recognized by

Delaware. The state should have a process to determine

whether it is appropriate to allow subsequently approved

blowing agents that have a higher climate impact than

other currently allowed, approved and available

substitutes

After receiving these comments, the Department is proposing

language in 6.1.2.1 that establishes a process where the

Department will consider approving (or rejecting) HFC blends

with lower global warming potential for two identified foam

end-uses, provided the requested blends have been approved

by the EPA, and offer sufficient technical support in favor of

the request. The Department reserves the right to base their

decision on the supporting technical documentation, and

additional stakeholders’ review.

Honeywell,

NRDC

12/4/2019 6.1.2 Suggestion to edit the 6.1.2. proposed language to

conform the scope of the language to the two foam types

identified by the industry.

Following these comments, the Department has modified the

language in subsection 6.1.2. to only apply to rigid

polyurethane low-pressure two-component spray foam and

polystyrene extruded boardstock and billet (XPS).

Dupont 12/12/2019 6.1.2.1 Request clarification on the use of the word “exclude” in

section 6.1.2.1. There is confusion as to whether the

current language could be interpreted to mean either “

750 blends would be excluded from the prohibited list”

or if It should read that “the blends would be included in

the regulation as being allowed”.

To clarify the intent of this section, the department is

proposing the following modification to subsection 6.1.2.1:

“[…] modify the regulation to exempt hydrofluorocarbon

blends with a global-warming-potential of 750 or less in rigid

polyurethane low-pressure two-component spray foam and

polystyrene extruded boardstock and billet (XPS) from the list

of prohibited substances in Section 6.0. ”

Arkema 1/13/2020 6.0 Request that the end-use date for the following four foam

applications be extended to 1/1/2022, to allow for enough

time for product reformulation, customer trials,

production changes, equipment and plant design, capital

appropriation, equipment order and implementation (12-

18 months process after selecting the new formulation):

• Extruded Polystyrene (XPS) Board Stock and

Billet

• Rigid Polyurethane (PU) Spray – High Pressure

2-Component Foam

• Rigid Polyurethane (PU) Spray – Low Pressure

2-Component Foam

• Rigid Polyurethane (PU) Spray –One

Component Foam

Department staff made no changes based on the received

comments.

The Department has acknowledged Arkema’s request,

however it believes that the proposed timeline is still

appropriate as it offers enough lead-time from the intended

schedule of the vacated EPA SNAP rules (effective dates

prior to January 2019 for all 4 foam end-uses). EPA’s

analyses to justify an earlier prohibition date included

technical and economic considerations for the availability of

lower GWP alternatives for these end-uses.

Table 10: Summary of public comments received from October 31, 2019 and January 17, 2020, and the actions taken

following these comments.

45

This would enable local businesses the opportunity to

compete across the state lines where restrictions are not

being considered.

Mentioned the costs of switching to new refrigerants, and

the implications for businesses that operate on thin

margins. Recommends that the Department reach out to

smaller businesses, such as groceries to understand the

impact.

The Department has invited grocery stores associations to the

initial rounds of review committee meetings – for them to be

part of the initial discussions on the regulatory language.

The impact to small businesses was compiled in Department’s

Regulatory Flexibility Analysis and Impact Statement Form –

based on EPA’s screening analyses of SNAP rules 20 and 21,

the impact of the proposed regulation can be presumed to

have no Significant Economic Impact on a Substantial

Number of Small Entities, and more details are offered in

Section IV C of the Technical Support Document.

NRDC 1/17/2020 6.1.2.1 Commented that NRDC conditionally supports the

amendment to section 6.1.2.1 which allows a person to

submit a request to exclude from the prohibition an

HFC-blend with a GWP of 750 or less for use in rigid

polyurethane low-pressure two-component spray foam

and polystyrene extruded boardstock and billet (XPS).

NRDC’s support is contingent on the GWP and end-use

criteria being met. To ensure a transparent and equitable

process, stakeholders should have an opportunity to

provide input and feedback on the request prior to a

determination by DNREC.

The Department understands the concerned raise by the

stakeholder and wants to emphasize the intent to receive/build

strong technical support documentation, along with general

agreement from industry stakeholders, for any future request

for exemption of the two identified foam products.

The Department is proposing language in 6.1.2.1 that

establishes a process where the Department will consider

approving (or rejecting) HFC blends with lower global

warming potential for two identified foam end-uses, provided

the requested blends have been approved by the EPA, and

offer sufficient technical support in favor of the request. The

Department reserves the right to base their decision on the

supporting technical documentation, and additional

stakeholders’ review.

Overall Regulation

Citizen:

Jeanette

Robinson

11/19/2019 Overall

Regulation

Comment on the urgency of Climate Action, and

general support for stringent regulations and policies

phasing down Hydrofluorocarbons and the use and

production of fossil fuels.

The Department staff made no changes based on the

received comments.

The Department agrees with the general sentiment, and the

need for policies supporting GHG reductions.

Citizen:

Nancy

Hannigan

12/9/2019 Overall

Regulation

Expressing support for the HFCs regulation proposed by

DNREC.

The Department staff made no changes based on the

received comments.

The Department appreciates the support.

Out of Scope of this Regulation

Table 10: Summary of public comments received from October 31, 2019 and January 17, 2020, and the actions taken

following these comments.

46

Arkema 1/13/2020 Out of Scope Comment that the Department should start discussing

regulated organizations’ timing needs to address their

workforce training considerations.

Arkema offered to facilitate these discussions.

The Department staff made no changes based on the

received comments.

The Department has acknowledged this comment and thanks

Arkema for the proposition to facilitate further discussion on

workforce training considerations, following the potential

adoption of this regulation.

These suggestions will be further reviewed out of the scope of

this proposed new regulation.

NRDC 1/17/2020 Out of Scope Comments on the following items, out of the scope

included in this proposed new regulation.

o NRDC opposes essential purpose permits

o NRDC supports refrigerant reclamation in

general, but warns that there is no need to

exempt reclaimed refrigerant from the

proposed rule

o NRDC encourages coordination with the

relevant department to update the state’s

building codes

The Department staff made no changes based on the

received comments.

The Departments thanks NRDC for offering these comments,

however, will not be integrating them as part of this proposed

regulatory development process.

These suggestions will be further reviewed out of the scope of

this proposed new regulation.

AHRI and

Daikin US

1/17/2020 Out of Scope Comments on the following items, out of the scope

included in this proposed new regulation.

o Recommends that DNREC take affirmative

steps to promote reclamation by requiring the

use of reclaimed refrigerant in state

procurement processes.

o Recommendation for Delaware to work with

county offices to adopt building codes that

allow for low GWP refrigerants (ASHRAE

15-2019 & UL 60335-2-40 3rd edition – or

equivalent).

o Offers to help working with stakeholders on

guidance for training materials and curriculum

o Recommendation to allow for an “essential

purpose permit option”

The Department staff made no changes based on the

received comments.

The Departments thanks AHRI and Daikin for offering these

comments, however, will not be integrating them as part of

this proposed regulatory development process.

These suggestions will be further reviewed out of the scope of

this proposed new regulation.

47

The Department has provided a register notice and published the proposed new regulation on

April 1st, 2020, via the Delaware Registrar of Regulations52 which is at least 20 days prior to

holding the public hearing. The public hearing notice, proposed regulation, and background

document will be made available on DNREC’s website at:

https://dnrec.alpha.delaware.gov/air/permitting/under-development/

Questions about this document may be addressed to:

Ajo Rabemiarisoa at (302) 323-4542 or via email at [email protected]

52 Delaware General Assembly. Registrar of Regulations. Accessible via:

https://legis.delaware.gov/Offices/DivisionOfResearch/RegistrarOfRegulations